Is a covenant that restricts the use of land a restrictive covenant?
British Columbia, Canada
The following excerpt is from Nylar Foods Ltd. v. Roman Catholic Episcopal Corp. of Prince Rupert, 1988 CanLII 3355 (BC CA):
White v. Lauder and Brigg v. Thornton establish that even though a covenant may affect the use of the land, it will not qualify as a restrictive covenant unless its words clearly establish that the parties intended to create a restriction that runs with the land. To be a restrictive covenant, the covenant must control the use of the land itself and not simply control a party to the agreement, which has the effect of indirectly restricting the use of the land.
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