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Real Property • Landlord-Tenant
PROP#089
Legal Definition
A covenant runs with the land where there is (1) intent, and (2) it touches and concerns the land. To satisfy the Statute of Frauds, it must also be in writing.
Plain English Explanation
Covenants are promises to do (or not do) something. It's easy to enforce promises between two parties that have clearly agreed to be bound by those promises, but some promises can be bound to the land or property itself, which means that they are enforceable against anyone in possession of that property.
This is what it means for a covenant to "run with the land." It is to attach a promise to the land, thereby benefiting or burdening whoever possesses the land. This is important, because property often changes hands between parties so tying certain rights and obligations to the property itself is an effective way to make sure they are kept alive.
In order for a covenant to run with the land, a few elements must be met:
(1) There must be intent for it to be tied to the land and for future parties to be bound by it.
(2) The covenant touches and concerns the land, which means the promise being made has something to do with the land itself and can reasonably relate to the use or enjoyment of the land.
This is what it means for a covenant to "run with the land." It is to attach a promise to the land, thereby benefiting or burdening whoever possesses the land. This is important, because property often changes hands between parties so tying certain rights and obligations to the property itself is an effective way to make sure they are kept alive.
In order for a covenant to run with the land, a few elements must be met:
(1) There must be intent for it to be tied to the land and for future parties to be bound by it.
(2) The covenant touches and concerns the land, which means the promise being made has something to do with the land itself and can reasonably relate to the use or enjoyment of the land.
Hypothetical
Hypo 1: Amy owns Whiteacre, an empty parcel. Next-door, Bob owns Blackacre, a cattle farm. Amy promises Bob that Amy will never allow Whiteacre to be developed into commercial real estate. Result: Whiteacre is now burdened by the promise Amy made to Bob, and Blackacre benefits from this burden. Moreover, it was the intent of Amy that this should forever impact Whiteacre. In other words, here you have a covenant to not commercially develop Whiteacre, and it is intended to run with the land.
Hypo 2: Same facts as Hypo 1. Years later, Amy sells Whiteacre to Carl. Carl wants to develop Whiteacre into a hotel. Bob wants to sue to stop him. Result: This is the ultimate issue when dealing with covenants that run with the land. At some point, there will be a change of parties trying to enforce promises that the parties never agreed to personally. So who is right? Is Carl bound to Amy's covenant? We'll get into that in later cards. The purpose of these hypos is to highlight when a covenant related issue will be triggered.
Hypo 2: Same facts as Hypo 1. Years later, Amy sells Whiteacre to Carl. Carl wants to develop Whiteacre into a hotel. Bob wants to sue to stop him. Result: This is the ultimate issue when dealing with covenants that run with the land. At some point, there will be a change of parties trying to enforce promises that the parties never agreed to personally. So who is right? Is Carl bound to Amy's covenant? We'll get into that in later cards. The purpose of these hypos is to highlight when a covenant related issue will be triggered.
Visual Aids
Related Concepts
How do lease covenants affect a landlord-tenant relationship where one party breaches?
How may a landlord waive a covenant prohibiting assignment?
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