RoaldDahl
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LSDefine
Simple English definitions for legal terms
future covenant
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A quick definition of future covenant:
A covenant is a formal agreement or promise between two parties, usually in a contract. It can be an absolute covenant, which has no conditions, or a conditional covenant, which is qualified by a condition. There are different types of covenants, such as affirmative covenants that obligate a party to do something, negative covenants that require a party to refrain from doing something, and future covenants that can only be breached upon interference with the possession of the grantee or the grantee's successors. Covenants can be created by the words of the parties or inferred from the whole agreement and the conduct of the parties. They can also be related to land, such as a covenant of quiet enjoyment, or to a business, such as a noncompetition covenant.A more thorough explanation:
A future covenant is a type of covenant that can only be breached if there is interference with the possession of the grantee or the grantee's successors. This type of covenant includes the covenant for further assurances, the covenant for quiet enjoyment, and the covenant of warranty. The distinction between future and present covenants is important in determining when the statute of limitations begins to run.
Suppose John sells a piece of land to Jane and includes a covenant of warranty in the deed. This means that John promises to defend Jane against any lawful or reasonable claims of superior title by a third party and to indemnify Jane for any loss sustained by the claim. If a third party comes forward and claims ownership of the land, John is responsible for defending Jane and paying any damages. This is an example of a future covenant because it can only be breached if there is interference with Jane's possession of the land.