Deed of covenant (overage obligations)

by Practical Law Property

A standard document for use when a landowner in England and Wales, who is bound by overage obligations, makes a disposal of a freehold property. This deed of covenant is essential where overage is secured by the positive covenant and restriction method. This standard document provides a direct covenant from the buyer's successor in title (the Disponee) to the party with the benefit of the overage obligations, ensuring that the overage obligations continue to be enforceable. It is designed to be used when a restriction has been placed on the property's title at HM Land Registry, which prevents a disposal from being registered without the consent of the party with the benefit of the overage obligations. The deed also contains provisions for obtaining the consent of the Disponee's chargee to the arrangements and can be adapted for a disposal of the whole or part of the property.