To establish whether, at common law, the benefits of the covenants 'run-with' or have 'become attached to' the land there are four conditions that must be satisfied.
The primary issue to be determined is whether these three obligations are directly enforceable against Kenneth. In order to do this it is necessary to establish whether the benefit and the burden of the covenants have become attached to and run with the land. This is necessary because neither Colin, Kenneth were party to the original agreement of 1988 and are therefore not bound by any contractual obligations that arose. If it can be established that Colin is entitled to the benefit and Kenneth is subject to the burden of the covenants then Colin will have a remedy available for their enforcement.
To establish whether, at common law, the benefits of the covenants 'run-with' or have 'become attached to' the land there are four conditions that must be satisfied. Firstly, at the time the covenants were made the covenantee must have had a legal estate1 in the land. It is noted that Alan did have the fee simple in the Brantville estate when the covenants were agreed. Secondly, the person seeking to enforce the covenant must have a legal estate in the land. We are told that in 1995 Alan sold the Brantville estate to Colin thus transferring the fee simple.
Thirdly, the covenants must touch and concern (benefit) the dominant land in some way, be it use, value or occupation2. It is noted that covenant one, a positive covenant, benefits the dominant land because it requires a contribution toward the annual maintenance of the access road, without which the road would fall into disrepair and would begin to negatively affect the use, value and occupation of Brantville. Covenant two, a restrictive covenant, requires that the servient tenant does not cause a nuisance by hanging clothes out to dry on a washing line. Whilst it is noted that not having to view your neighbours washing, may, in some 'small' way improve the dominant tenant's occupation, it is highly unlikely that a court would determine that there was any benefit given by this covenant. Nevertheless, whilst the remotest of chances exists, it would be prudent to consider the implications of a court finding some benefit. Covenant three, a restrictive covenant, requires Kenneth to use the plot solely for residential purposes. It is submitted that this covenant should benefit Brantville, but because Kenneth is running a business from his cottage there is likely to be increased noise levels, pollution and traffic to and from the cottage across Colin's land.
The fourth condition in determining whether the benefit has become attached to the land is that at the time the covenants were made it must have been intended that the benefits run with the land. Such an intention is shown where the wording of the covenant includes reference to 'successors in title and assigns', which is evident in the statement that 'Justin covenanted with Alan his successors in title and assigns..'. If however, these words had been omitted then S.78 Law of Property Act 19253 would have implied them into the covenant; unless this section was expressly excluded in the deed of covenant. Accordingly, even though we can conclude that at common law the benefit has become attached to the dominant land (for all three covenants) Colin cannot enforce the covenants because of the rule in Austerberry v. Corporation of Oldham4, which holds that the burden of a covenant (positive or negative) never runs with the land at common law, which means that it would be necessary to look to equity for a remedy, although insofar as covenant one is concerned this would be a pointless exercise due to the principle of Haywood v. Brunswick Permanent Benefit Building Society5 . This case laid down the rule that the burden of a positive covenant never runs at common law or equity. Fortunately however, methods have been developed to circumvent this rule. Such a rule is that of indemnity-covenants; here Colin can sue Kenneth indirectly via a 'chain'-of-indemnity-covenants by suing Justin (the original covenantor). Justin can then sue Kenneth for the damages paid to Colin. Generally most burdened land will include an indemnity covenant within the conveyance, so as to afford quasi-protection to the original covenantor and allow the claimant to recover damages.
To establish whether, at common law, the benefits of the covenants 'run-with' or have 'become attached to' the land there are four conditions that must be satisfied. Firstly, at the time the covenants were made the covenantee must have had a legal estate1 in the land. It is noted that Alan did have the fee simple in the Brantville estate when the covenants were agreed. Secondly, the person seeking to enforce the covenant must have a legal estate in the land. We are told that in 1995 Alan sold the Brantville estate to Colin thus transferring the fee simple.
Thirdly, the covenants must touch and concern (benefit) the dominant land in some way, be it use, value or occupation2. It is noted that covenant one, a positive covenant, benefits the dominant land because it requires a contribution toward the annual maintenance of the access road, without which the road would fall into disrepair and would begin to negatively affect the use, value and occupation of Brantville. Covenant two, a restrictive covenant, requires that the servient tenant does not cause a nuisance by hanging clothes out to dry on a washing line. Whilst it is noted that not having to view your neighbours washing, may, in some 'small' way improve the dominant tenant's occupation, it is highly unlikely that a court would determine that there was any benefit given by this covenant. Nevertheless, whilst the remotest of chances exists, it would be prudent to consider the implications of a court finding some benefit. Covenant three, a restrictive covenant, requires Kenneth to use the plot solely for residential purposes. It is submitted that this covenant should benefit Brantville, but because Kenneth is running a business from his cottage there is likely to be increased noise levels, pollution and traffic to and from the cottage across Colin's land.
The fourth condition in determining whether the benefit has become attached to the land is that at the time the covenants were made it must have been intended that the benefits run with the land. Such an intention is shown where the wording of the covenant includes reference to 'successors in title and assigns', which is evident in the statement that 'Justin covenanted with Alan his successors in title and assigns..'. If however, these words had been omitted then S.78 Law of Property Act 19253 would have implied them into the covenant; unless this section was expressly excluded in the deed of covenant. Accordingly, even though we can conclude that at common law the benefit has become attached to the dominant land (for all three covenants) Colin cannot enforce the covenants because of the rule in Austerberry v. Corporation of Oldham4, which holds that the burden of a covenant (positive or negative) never runs with the land at common law, which means that it would be necessary to look to equity for a remedy, although insofar as covenant one is concerned this would be a pointless exercise due to the principle of Haywood v. Brunswick Permanent Benefit Building Society5 . This case laid down the rule that the burden of a positive covenant never runs at common law or equity. Fortunately however, methods have been developed to circumvent this rule. Such a rule is that of indemnity-covenants; here Colin can sue Kenneth indirectly via a 'chain'-of-indemnity-covenants by suing Justin (the original covenantor). Justin can then sue Kenneth for the damages paid to Colin. Generally most burdened land will include an indemnity covenant within the conveyance, so as to afford quasi-protection to the original covenantor and allow the claimant to recover damages.