DISCHARGE, MODIFICTION AND RELEASE OF COVENANTS
▪ Once granted, covenants will last forever
▪ Over time they can become obsolete.
DISCHARGE & MODIFICATION
DISCHARGE
▪ Means covenant is no longer valid
▪ Will happen automatically if same owner acquires both tenements. (known as a
merger – re Tiltwood, sussex 1978)
▪ Dominant owner may expressly agree to discharge the covenant (usually in return
for payment)
▪ Dominant owner may impliedly agree to discharge the covenant (by saying nothing
as it is openly breached)
▪ To avoid ransom of covenantee – they can apply to UPPER TRIBUNAL (lands
chamber) for discharge or modification of any covenant.
MODIFICATION
▪ Scope of covenant is altered but not completely invalidated.
LAW OF PROPERTY ACT 1925 – GIVES LANDS CHAMBER THE POWER TO DISCHARGE OR
MODIFY… ANY RESTRICTION
Only applies to RESTRICTIVE COVENANTS
S 84(1)(a) – has become obsolete due to changes in character of property or
neighbourhood.
o Only use for residence – now neighbourhood is industrial
S 84(1)(aa) – continued existence impedes the reasonable use of the land
o Is contrary to public interest or confers no public benefit.
o Tribunal must be satisfied that financial compensation ok for dominant
owner.
S 84(1)(b) Dominant owners expressly or impliedly agree
o Where dominant owner ignored open breach
o Court will decide amount of compensation
S 84(1)(c) Dominant owners will not suffer injury
o Tribunal can override spurious or frivolous objections.
o Court will have regard to social and economic concerns and the wider public
▪ Once granted, covenants will last forever
▪ Over time they can become obsolete.
DISCHARGE & MODIFICATION
DISCHARGE
▪ Means covenant is no longer valid
▪ Will happen automatically if same owner acquires both tenements. (known as a
merger – re Tiltwood, sussex 1978)
▪ Dominant owner may expressly agree to discharge the covenant (usually in return
for payment)
▪ Dominant owner may impliedly agree to discharge the covenant (by saying nothing
as it is openly breached)
▪ To avoid ransom of covenantee – they can apply to UPPER TRIBUNAL (lands
chamber) for discharge or modification of any covenant.
MODIFICATION
▪ Scope of covenant is altered but not completely invalidated.
LAW OF PROPERTY ACT 1925 – GIVES LANDS CHAMBER THE POWER TO DISCHARGE OR
MODIFY… ANY RESTRICTION
Only applies to RESTRICTIVE COVENANTS
S 84(1)(a) – has become obsolete due to changes in character of property or
neighbourhood.
o Only use for residence – now neighbourhood is industrial
S 84(1)(aa) – continued existence impedes the reasonable use of the land
o Is contrary to public interest or confers no public benefit.
o Tribunal must be satisfied that financial compensation ok for dominant
owner.
S 84(1)(b) Dominant owners expressly or impliedly agree
o Where dominant owner ignored open breach
o Court will decide amount of compensation
S 84(1)(c) Dominant owners will not suffer injury
o Tribunal can override spurious or frivolous objections.
o Court will have regard to social and economic concerns and the wider public