Legal Definitions - covenant that runs with the land

A covenant that runs with the land is a legal agreement or promise concerning the use of a specific piece of property that is not just binding on the original parties who made the agreement, but also on all future owners of that property.

Essentially, this type of covenant is attached to the land itself, rather than to a specific person. When the property is sold or transferred, the new owner automatically inherits the rights and responsibilities outlined in the covenant. These agreements can either provide a benefit to the landowner (e.g., a right to use a shared amenity) or impose a burden (e.g., a restriction on how the land can be used or an obligation to perform certain actions). If the covenant imposes a burden, it is often referred to as a restrictive covenant.

This is different from a "personal covenant," which only binds the individuals who originally agreed to it and does not transfer to subsequent owners.

Here are a few examples to illustrate how a covenant that runs with the land operates:

• Shared Road Maintenance in a Private Community: Imagine a small, exclusive neighborhood where all homes are accessed via a private road. When the developer first sold the lots, a covenant was established requiring each homeowner to contribute an annual fee towards the maintenance and repair of this private road. This covenant is designed to run with the land.

  How it illustrates the term: If you purchase a home in this neighborhood, you automatically become responsible for paying the annual road maintenance fee, even though you were not part of the original agreement with the developer or previous owners. The obligation is tied to the ownership of the property itself, not to who originally signed the agreement.

• Architectural Guidelines in a Historic District: In a city's designated historic district, a covenant might be in place for all properties, stipulating that any exterior modifications to buildings (such as changing window styles, altering the roofline, or repainting in non-approved colors) must first receive approval from a local historical review board. This covenant is intended to preserve the architectural integrity of the area.

  How it illustrates the term: If you buy a historic home in this district, you are legally bound by these architectural guidelines. You cannot simply decide to replace your original wooden windows with modern vinyl ones without seeking approval, because this restriction "runs with the land" and applies to all subsequent owners.

• Access to Community Amenities and Associated Fees: Consider a modern residential development that features a communal swimming pool, fitness center, and clubhouse. A covenant is established that grants all property owners in the development the right to use these facilities, but also obligates them to pay a monthly homeowner association (HOA) fee to cover the maintenance and operational costs of these amenities.

  How it illustrates the term: When a home in this development is sold, the new owner automatically gains the benefit of being able to use the pool and fitness center, but simultaneously assumes the burden of paying the monthly HOA fees. Both the right to use the amenities and the obligation to pay for them are attached to the property and transfer with its ownership.