Restrictive Covenant Solicitors

A restrictive covenant is a clause in a contract that is designed to place certain limits on parties to the agreement. Restrictive covenants affect signatories differently depending on how they are used, and in some cases the limitations may be unreasonable. For example, they could include non-compete clauses that forbid employees from leaving a business to work in a similar role for its competitor, and contractual stipulations that determine how a piece of land can be developed.

In some cases, restrictive covenants can put unfair limits on the parties to a contract. Further, the variety in how they can be applied can make your rights and obligations under such an agreement difficult to understand. Restrictive covenant disputes may arise in such cases, especially where the parties do not interpret the contract in the same way, or if situations change while a contract still applies.

Under these circumstances, it is vital to seek legal guidance and the team at Clough & Willis can help. We have extensive experience in supporting clients with restrictive covenants, disputes and contracts, to pursue a fair outcome that aligns with your business interests. We have particular experience with land restrictive covenants and property disputes, in which reaching a positive outcome is crucial. By finding a solution that suits both parties, we can prevent the problems that can otherwise arise when neighbours fall out.

Speak to the team at Clough & Willis today for advice on resolving a dispute by calling 0800 083 0815, or fill out an online enquiry form and we will call you back at your convenience.

What are positive and restrictive covenants?

Covenants are written conditions or obligations which often relate to the sale of a property, or the granting of a lease. They can be restrictive, such as limiting the use of a particular piece of land or property. Alternatively, they can be positive, imposing an obligation to put up a fence or build a house to a certain value.

There are two types of restrictive and positive covenants:

• Those that may only concern the parties to a particular deed
• Those intended to "run with the land” - meaning that they bind successive owners of the property

You can run into difficulties when dealing with restrictive covenants, and it is vital to review any contracts with care. Disputes over property are particularly common and contentious, so if you have plans to develop your property or build an extension, you should review your title deeds or any other agreements that could affect your decisions.

If an agreement contains unreasonable limitations or is likely to interfere with your intentions, it is always best to negotiate these terms ahead of time. However, this is not always possible, especially because plans can change. When disputes arise, it is crucial to consult a solicitor for advice on your legal position. In many cases, it is possible to reach a positive outcome for all parties to the dispute, provided there is a willingness to negotiate. Choosing the right solicitor will give you the best chances of success in resolving restrictive covenant disputes.

What are the most common causes of restrictive covenant disputes?

Several types of restrictive covenant disputes arise regularly. The team at Clough & Willis has represented clients with the following types of disagreements on numerous occasions, and secured positive outcomes:

• Enforcement of conditions preventing you from working from home
• Conversion, alteration or splitting of a property. In these situations the owner of the leasehold property is required to seek permission from the landlord.
• Unreasonable demand. You may have received a request for a disproportionately large sum of money in exchange for consent to building works or the conversion of a property
• Breach. This arises when your neighbour, who you believe is subject to the same covenants, breaches those in a way that affects you using and enjoying your own property.

These are not the only types of disputes for which we can provide legal advice. To learn more about your position relating to a restrictive covenant and the legal options you have available, contact our team today.

How can Clough & Willis help you?

When you contact Clough & Wills about property dispute, we will first obtain and examine the relevant title deeds. With an understanding of the legal background of the disagreement and any restrictive covenants that apply, we can provide advice on the legality and potential effects of the contract's provisions, to help you understand your rights and obligations. This can include advising on the likelihood of a covenant being enforceable and the risks involved in breaching it, which can help you decide how to move forward.

If a dispute arises, we will then attempt to resolve it through negotiation. We can negotiate the terms of restrictive covenants on behalf of clients, and we always seek to find a balance that protects all parties' interests without being overly restrictive or unfair. This often brings about the best resolution.

Such cases, we will advise clients on the legal options that are available. In many cases, disputes arise when homeowners try to develop properties on leasehold land, as the agreement with the landowner may contain restrictive covenants. Disputes of this nature may be resolved by a tribunal, or through negotiation. It may also be possible to apply to a tribunal to discharge or modify the terms of a restrictive covenant where the property, or the neighbourhood has changed and there is no obvious reason for the continuation of a restriction.

We take the time to invest in our clients and understand their goals. That way, we can make sure that we support their ambitions and help to find the best possible resolution to this type of dispute.