Buying Commercial Property · glossary
A promise to do something, such as to pay money. It binds only the person who gave it, not later owners of the land. That is why an indemnity covenant has to be given again at every sale. Chapter 4 · see Indemnity covenant, Restrictive covenant
Explained in Chapter 4, The Covenant, of Buying Commercial Property.
Hebble, which gave the covenant, stayed liable on it by contract after it sold the land. So when Hebble sold to Holmfield in 1987, it took an indemnity covenant from Holmfield: a promise to keep the covenant and repay Hebble's loss if it is broken. That promise is a positive covenant (a promise to act or pay). Only a promise not to do something passes with the land, so this one binds Holmfield but not later owners.Read Chapter 4, The Covenant →
Chapter 1 and this glossary are open to everyone; the whole edition is free to read with a free account until 31 January, and it stays open to an account opened by then.Chapter 1 of Buying Commercial Property and this glossary are free to read; the rest of the edition is in the Library, at €12 a month or €79 for a Year Pass.
Related terms
Where this term lives
This term is part of one complete fictional deal, with every document attached and a test after every chapter. Open Buying Commercial Property → · All terms A–Z →