COVENANT - Black's Law Dictionary

What is COVENANT? Definition of COVENANT in Black's Law Dictionary - Legal dictionary - Glossary of legal terms.

Practice

The  name of a common-law form  of action ex contractu, which  lies for the recovery of damages for breach  of a covenant, or contract under  seal. Stickney  v. Stickney,  21 N.H. 68; Utilities  Production Corporation  v. Southwestern Natural Gas Co., Del., 1 Terry 401, 11 A.2d 275, 276.

Law of Contracts

An agreement, convention, or promise  of two or more  parties, by deed in writing, signed,  sealed, and delivered, by  which either of the  parties pledges himself to the  other that  something is either done or shall be done, or stipulates for the truth  of certain facts.  Commonwealth v. Robin. son, 1 Watts, Pa., 160;  Kent  v. Edmondston, 49 N.C. 529; Schram v. Coyne, C.C.A.Mich.,  127 F.2d 205, 209; Sabin v. Hamilton, 2 Ark. 485, 490 (see, however, the  later  case  of Dyer v. Gill,  32 Ark. 410, pointing out that by virtue  of statute in Arkansas, the distinction between sealed and unsealed instruments, with  reference to contracts between individuals, has been abolished).

An agreement between  two or more parties,  reduced  to writing and executed by a sealing and delivery thereof, whereby some  of the parties named therein engage, or one of them engages, with the other, or others, or some of them, therein also named, that some act hath or hath not already been done, or for the performance  or non performance of some specified  duty. De Bolle v. Insurance Co., 4 Whart., Pa., 71, 33 Am.Dec. 38.

In common parlance, any agreement, whether under  seal or not. 15 C.J. 1209;  7 R.C.L. 1084; Jenkins v. John  Taylor Dry Goods Co., 352 Mo. 660, 179 S.W.2d 54, 58.

In effect,  this has become the legal  meaning in many states, in which private seals have been abolished by statute. For a number of these  state statutes, see 66 L.R.A. 686, 687. In those states it is commonly held that the affixing  of a seal, when unnecessary to the  validity of the instrument, has no effect, and may  be disregarded. 24 R.C.L. 689. "Seals are a relic of that period when men, as a rule, could not write,"  and a covenant may "be created in this state [Georgia] by  a writing not  under seal." Atlanta, K. & N. Ry. Co. v. McKinney, 124 Ga. 929, 53 S.E. 701, 703, 6 L.R.A.,N.S., 436.

Classification

Covenants  may be classified  according  to several distinct  principles of division.  According as one or other of these is adopted, they are:

Express or implied. The  former being those which are  created by the  express words of the parties to the deed declaratory of their intention, while  implied covenants are those  which are inferred by the  law  from certain words in a deed which imply  (though they  do not express) them. Express covenants are also called covenants "in deed," as distinguished from  covenants "in law." McDonough v. Martin, 88 Ga. 675, 16 S.E. 59, 18 L. R.A. 343; Garstang v. Davenport, 90 Iowa 359, 57 N.W. 876.

Dependent, concurrent, and independent. Covenants are either dependent,  concurrent, or mutual and independent. The first depends on the prior performance of some  act or condition, and, until the  condition is performed, the  other party is not  liable to an action on his  covenant. In the second, mutual acts  are to be performed at the same time;  and  if one party is ready, and  offers to perform his  part, and  the  other neglects or refuses  to perform  his, he who is ready and offers has fulfilled his engagement, and may  maintain an action for the default of the other, though it is not certain that either  is obliged to do the first act. The third  sort is where either party  may  recover damages from the  other for  the  injuries he may  have received by a breach of the  covenants in his  favor; and it is no  excuse for  the defendant to allege  a breach of the covenants on the  part  of the  plaintiff. Bailey v. White, 3 Ala. 330; Gray v. Smith, C.C.Cal.,  76 F. 534; Lowery v. May,  213 Ala. 66, 104 So. 5, 8; Roberts v. Steelman, C.C.A.N.J., 1 F.2d 180, 182..

Mutual and independent covenants are such as do not go to the whole consideration on both  sides, but only  to a part, and where separate actions lie for breaches on either side to recover damages for the injury sustained  by breach. Lowery v. May, 213 Ala. 66, 104 So. 5, 8; Big Run Coal Co. v. Employers' Indemnity Co., 163 Ky. 596, 174 S.W. 25, 26.

Covenants are dependent where performance  by one party is conditioned on and subject to performance by the other, and in such case the party who seeks performance must show performance or a tender  or readiness to perform  on his part;  but covenants are independent when actual performance of one is not dependent on another, and where, in consequence, the remedy of both  sides is by action. Roberts v. Steelman, C.C.A.N.J., 1 F.2d 180, 182.

Principal and auxiliary. The former  being  those which relate directly  to the principal matter  of the contract entered into between the parties; while auxiliary covenants are those which do not  relate  directly to the  principal matter of contract between the parties, but to something connected with it.

Inherent and collateral. The former  being  such   • as immediately affect the  particular property, while the  latter affect some property collateral thereto or some  matter collateral to the grant  or lease. Shep.Touch. 161.

A covenant inherent is one which is conversant about the land, and knit to the estate in the land; as, that the thing demised  shall be quietly  enjoyed,  shall be kept in repair, or shall not be aliened. A covenant  collateral  is one which is conversant about some collateral  thing that doth nothing at all, or not so immediately, concern the thing granted; as to pay a sum of money in gross,  etc.

Joint or several. The  former bind both or all the covenantors together; the latter  bind each of them separately. A covenant may  be both  joint and several at the same time, as regards the covenantors; but,  as regards the covenantees, they cannot  be joint and several  for one and the same cause, (5 Coke,  19a,)  but must  be either  joint  or several only. Brown. See  Capen v. Barrows, 1 Gray,  Mass.,  379; In re Slingsby, 5 Coke,  18b.

Covenants are usually  joint or several  according as the interests of the covenantees are such; but the words of the covenant, where they are  unambiguous, will  decide, although, where they  are ambiguous the nature of the interests as being joint or several is left to decide.

General or specific. The  former relate to land generally  and place the covenantee in the position of a specialty creditor only; the  latter relate to particular lands and  give  the covenantee a lien thereon. Brown.

Executed or executory. The former being  such as relate to an act already performed; while the latter are those whose performance is to be future. Shep.Touch. 161.

Affirmative or negative. The former being those  in which  the party binds  himself to the existence of a present state  of facts as represented or to the future performance of some  act;  while the  latter are  those in which the  covenantor obliges  himself  not to do or perform some act.

Declaratory or obligatory. The  former being those which serve to limit  or direct uses; while the latter are those which are binding on the party himself. 1 Sid. 27; 1 Keb. 337.

Real and personal.  A real covenant  is one which binds  the heirs  of the covenantor and passes to assignees or purchasers; a covenant the obligation of which  is so connected with the realty  that he who has the latter is either entitled to the benefit of it or is liable to perform it; a covenant which has for its object something annexed to, or inherent in, or connected with,  land  or other real  property, and  runs with the  land, so that the  grantee of the  land is invested with it and may  sue  upon it for a breach happening in his time. 4 Kent, Comm. 470; 2 Bl.Comm.  304; Chapman v. Holmes,  10 N.J.Law,  20; Skinner  v. Mitchell, 5 Kan.App. 366, 48 P. 450; Oil Co. v. Hinton, 159 Ind. 398, 64 N.E. 224; Davis v. Lyman, 6 Conn. 249.

In the old books, a covenant real is also defined to be a covenant  by which a man binds himself to pass a thing real, as lands or tenements. Termes de la Ley; 3 Bl. Comm. 156; Shep.Touch. 161. A personal covenant, on the other hand, is one which, instead of being a charge upon real estate  of the covenantor, only binds himself  and his personal representatives in respect to assets. 4 Kent, Comm.  470; Carter v. Denman, 23 N.J.Law,  270; Hadley v. Bernero, 97 Mo.App. 314, 71 S.W. 451. The phrase may also mean a covenant which is personal to the covenantor, that is, one which he must perform in person, and cannot procure  another  person  to perform for him. De Sanno  v. Earle, 273 Pa. 265, 117 A. 200, 202; Pearson v. Richards, 106 Or. 78, 211 P. 167,  171.  "Real  covenants" relate  to realty and have for their main object some benefit thereto, inuring to benefit of and becoming binding on subsequent grantees, while "personal covenants" do not run with land. Bank of Hoxie v. Meriwether, 166 Ark. 39, 265 S.W. 642, Very considerable confusion exists among the authorities in the use of the term real covenants. The definition of Blackstone which determines the character of covenants from the insertion or noninsertion of the word  "heir"  by the covenantor,  is pretty generally rejected.

Transitive or intransitive. The  former being those  personal covenants the duty of performing which passes over  to the representatives of the covenantor; while the latter are those the duty of performing which  is limited to the covenantee himself, and does not pass over to his representative.  Bac.Abr.Cov. Disjunctive covenants. Those  which  are for the performance of one or more  of several things at the election of the covenantor or covenantee, as the case may be. Platt,  Coy. 21.

Absolute or conditional. An absolute covenant is one which is not qualified or limited by any condition.

Other  Compound and Descriptive Terms

Continuing covenant. One  which indicates or necessarily implies the doing of stipulated acts successively or as often  as the occasion may require; as, a covenant to pay rent by installments, to keep the premises  in repair or insured,  to cultivate land, etc. McGlynn v. Moore,  25 Cal. 395.

Full covenants. As this term  is used  in American law, it includes the following: The covenants for  seisin, for  right to convey, against incumbrances, for quiet  enjoyment, sometimes for further assurance, and almost always of warranty, this last often taking the place of the covenant for quiet enjoyment, and indeed in many states being the only  covenant in practical use.  Rawle, Coy. for Title, § 21.

Mutual covenants. A mutual covenant is one where either party may recover  damages from the other for the injury  he may have received from a breach of the  covenants in his  favor. Bailey v. White, 3 Ala. 330.

Separate covenant. A several covenant; one which binds the several covenantors each for him self, but not jointly.

Usual  covenants. An agreement on the part of a seller of real  property to give  the  usual covenants binds him to insert in the grant covenants of "seisin," "quiet  enjoyment," "further assurance," "general warranty," and "against incumbrances." Wilson v. Wood, 17 N.J.Eq. 216, 88 Am.Dec.  231; Drake v. Barton, 18 Minn. 467, Gil. 414.

The result of the authorities appears to be that in a case where  the agreement is silent  as to the particular covenants to be inserted  in the lease, and provides  merely for the lease containing "usual  covenants," or, which  is the same thing, in an open agreement without  any reference to the covenants, and there are no special circumstances justifying  the introduction of other covenants, the following are the only ones which either party can insist upon, namely; Covenants by the  lessee (1) to pay  rent; (2) to pay taxes, except such as are expressly  payable  by the landlord; (3)  to keep and deliver up  the  premises in repair; and (4) to allow  the lessor  to enter  and view the state  of repair; and the usual  qualified covenant by the lessor for quiet enjoyment  by the lessee. 7 Ch.Div. 561.

Specific Covenants

Covenants against incumbrances. A covenant that there are no incumbrances on the land conveyed; a stipulation against all rights to or interests in the  land which may  subsist in third persons to the diminution of the value  of the estate granted. Bank  v. Parisette, 68 Ohio St. 450, 67 N.E. 896; Shearer v. Ranger, 22 Pick.,  Mass:, 447;  Matzger v. Arcade Building & Realty Co., 102 Wash. 423, 173 P. 47.

Covenant for further  assurance. An undertaking, in the form of a covenant, on the part of the vendor of real estate to do such  further acts  for the  purpose of perfecting the  purchaser's title as the latter  may reasonably require. This covenant  is deemed of great  importance, since  it relates  both  to the vendor's title  of and  to the instrument of conveyance to the vendee, and  operates as well  to secure the  performance of all acts  necessary for supplying any  defect in the former as to remove all objections  to the sufficiency and security of the latter. Platt,  Cov.;  Rawle, Coy. §§ 98, 99. See Sugd.Vend. 500; Armstrong  v. Darby, 26 Mo. 520.

Covenant for quiet  enjoyment. An assurance against  the consequences of a defective title, and of any disturbances thereupon. Platt,  Cov. 312; Rawle, Co y. 125.  Gulf  Refining Co. v. Fetschan, C.C.A.Ohio, 130 F.2d 129, 132.

A covenant  that the tenant or grantee of an estate shall enjoy the possession  of the premises in peace and without disturbance by hostile claimants. Poposkey  v. Munkwitz, 68 Wis. 322, 32 N.W. 35, 60 Am.Rep. 858; Stewart v. Drake, 9 N.J.Law, 141; Christy v. Bedell, 10 Kan. App. 435, 61 P. 1095.

Covenants for title. Covenants usually  inserted in a conveyance of land, on the part of the grantor,  and binding him  for the completeness, security, and continuance of the title transferred to the grantee. They comprise "covenants for seisin, for right to convey, against incumbrances, or quiet enjoyment, sometimes for further  assurance, and almost  always  of warranty." Rawle,  Cov. § 21.

Covenants in gross. Such  as do not run with the land.

Covenant not to sue.  A covenant by one  who had a right of action at the  time of making it against another person, by which he agrees not to sue to enforce  such right of action.  Pacific  States Lumber Co. v. Bargar, C.C.A.Or., 10 F.2d 335, 337; McDonald v. Goddard Grocery Co., 184 Mo.App. 432, 171 S.W. 650, 651,

Covenant of non-claim. A covenant sometimes employed, particularly in the New England  states, and in deeds of extinguishment of ground rents in Pennsylvania, that  neither the  vendor, nor  his heirs,  nor any other person, etc., shall claim  any title in the premises conveyed. Rawle, Coy. § 22.

Covenant of right  to convey. An assurance by the  covenantor that  the  grantor has  sufficient capacity and  title  to convey the  estate which  he by his deed undertakes to convey.

Covenant of seisin. An assurance to the purchaser that the  grantor has  the  very estate in quantity and  quality which he purports to convey.  11 East, 641; Rawle, Coy. § 58; Burton v. Price, 105 Fla. 544, 141 So. 728, 729.

It is said that the covenant of seisin  is not now in use in England, being embraced in that of a right to convey; but it is used  in several of the United States. 2 Washb. Heal Prop. *648.

Covenant of warranty. An  assurance by the grantor of an estate that  the grantee shall  enjoy the same  without interruption by virtue  of paramount title.  King  v. Kilbride, 58 Conn. 109,  19 A. 519; Blair v. Morris, 212 Ala. 91, 101 So. 745, 746; Biwer  v. Martin, 294 Ill. 488, 128 N.E. 518, 522.

Covenant running with land. A covenant which goes  with  the land,  as being annexed to the estate, and  which cannot be separated from the land,  and transferred without it. 4 Kent,  Comm. 472, note.

A covenant is said to run with the land, when not only the original parties or their representatives, but each successive owner of the land, will be entitled  to its benefit,  or be liable  (as the case may be) to its obligation. 1 Steph. Comm. 455. Or, in other words, it is so called when either the liability to perform it or the right  to take advantage cf it passes to the  assignee of the  land. Tillotson v. Prichard, 60 Vt. 94, 14 A. 302, 6 Am.St.Rep.  95; Spencer's Case,  3 Coke,  31. One which  touches and concerns the land  itself,  so that  its benefit or obligation passes with the ownership. Local  Federal Savings Loan Ass'n of Oklahoma City v. Eckroat, 186 Okl. 660, 100 P.2d 261, 262.

Covenant running with title. A covenant which goes with the title. Stipulation in a lease granting to lessee the option of renewing it for  another specified period was  such  a covenant. Magnolia Petroleum Co. v. Carter, La.App., 2 So.2d 680, 682.

Covenant to convey. A covenant by which the convenantor agrees  to convey  to the covenantee a certain estate, under certain circumstances.

Covenant to renew. An  executory contract, giving lessee the  right to renew on compliance with  the  terms specified in the  renewal clause, if any, or, if none, on giving notice,  prior to termination  of the lease, of his desire  to renew,  where upon  the contract becomes executed as to him. Freiheit v. Broch, 98 Conn. 166, 118 A. 828, 830.

Covenant  to stand seised. A conveyance adapted to the case where  a person seised  of land in possession, reversion, or vested  remainder, proposes to convey it to his wife,  child,  or kinsman. In its terms it consists of a covenant by him, in considration  of his natural  love and affection, to stand seised of the land to the use of the intended  transferee. Before  the statute  of uses this would  merely have raised  a use in favor  of the convenantee; but by that act this use is converted  into the legal estate, and the covenant therefore operates as a conveyance of the  land  to the  covenantee. It is now  almost obsolete. 1 Steph.Comm. 532;  Williams, Seis.  145;  French v. French, 3 N.H.  261; Jackson v. Swart, 20 Johns., N.Y., 85.

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