π
Real Property β’ Restraints on Alienation
PROP#042
Legal Definition
Under a promissory restraint, attempted transfers breach the covenant.
Plain English Explanation
While "disabling restraints" and "forfeiture restraints" involve the grantor telling the grantee what they cannot do with their land, a promissory restraint is an attempt to make the grantee promise to never transfer the land. In other words, it is language that makes it appear as if the person receiving land promises never to transfer it and, by doing so, agrees that they are breaking their promise.
This is a restraint on alienation and is void.
This is a restraint on alienation and is void.
Hypothetical
Hypo 1: Oz conveyed Blackacre "to Amy in fee simple." Oz added a restriction that says "Amy hereby covenants that she will never transfer the land or any interest in it without prior written consent from Oz." Result: Oz is attempting to deny Amy from having the right to transfer her interest in Blackacre. Unfortunately for Oz, the law doesn't like such restraints on alienation. Thus, even though it is what Oz wanted, the law will ignore it. Amy thus receives Blackacre in fee simple with no restrictions.
Related Concepts
How are restraints on alienation generally dealt with by courts?
What are the most common, valid restraints on alienation?
What is the result of a disabling restraint?
What is the result of a discriminatory restraint?
What is the result of a forfeiture restraint?
What is the result of an absolute restraint on a fee simple estate?
What is the result of restraints on alienation on Life Estates and Future Interests?