Restrictive covenants are legal rules attached to a property that limit what the owner can do with the land or buildings. They are usually included in property deeds to help protect the character of an area, prevent disputes, and maintain property values. But what if a homeowner breaks one of these rules? In this guide, we’ll explain what happens if you breach a restrictive covenant and how to resolve any issues that arise.
What is a restrictive covenant in property?
A restrictive covenant is a legal obligation that places specific restrictions on the use or modification of a property. These covenants are typically imposed by property developers, local authorities, or previous landowners to control aspects of property use and protect the interests of other property owners in the area.
Common examples
Building restrictions: Preventing the construction of certain types of structures or requiring approval before making alterations.
Usage limitations: Prohibiting commercial activity in residential areas.
Aesthetic controls: Restricting changes to a property's exterior, such as paint colours or extensions.
Land use restrictions: Preventing subdivision or development of land beyond specified limits.
Shared access agreements: Governing the use of private roads, driveways, or communal spaces.
👉 You can learn more in our guide to what are restrictive covenants.
What is a breach of covenant?
A breach of a restrictive covenant happens when a homeowner does something that goes against the legal restrictions placed on their property. These restrictions are set out in the property’s title deeds and are meant to control how the land or buildings can be used.
Common breaches include:
Making unauthorised modifications: For example, building an extension, converting a garage, or changing the property’s exterior without approval.
Using the property for restricted purposes: Such as running a business from a home that has a covenant prohibiting commercial use.
Failing to follow maintenance obligations: Some covenants require homeowners to maintain shared spaces, fences, or gardens to a certain standard. Ignoring these responsibilities could lead to a breach.
What will happen if you breach a restrictive covenant?
The consequences of breaching a restrictive covenant can vary, depending on the severity of the breach and who is affected. In some cases, a breach may go unnoticed, but if the benefiting party (such as a neighbour, property developer, or estate management company) decides to take action, the homeowner may face serious legal and financial consequences.
Here’s what could happen:
Legal action: The party that benefits from the covenant may take legal steps to enforce it, requiring the homeowner to comply with the original terms.
Court injunctions: A judge may issue an injunction, forcing the homeowner to stop the activity that breaches the covenant or undo unauthorised changes - such as demolishing an extension that wasn’t approved.
Financial penalties: If the breach has caused financial loss to others (such as lowering a neighbour’s property value), the homeowner may be ordered to pay compensation or damages.
Impact on selling the property: If there is an unresolved covenant breach, it can make selling the property more difficult. Buyers and mortgage lenders may refuse to proceed unless the issue is resolved.
Negotiation and retrospective consent: In some cases, the benefiting party may be willing to negotiate. They might agree to grant retrospective approval for the breach in exchange for a financial settlement or other conditions.
💡 Key takeaway: If you’ve breached a restrictive covenant - or are unsure if you have - it’s important to seek legal advice as early as possible from a restrictive covenant solicitor. In some cases, breaches can be resolved through negotiation or formal legal processes, but ignoring the issue could lead to costly disputes.
How can you remove a restrictive covenant?
If a restrictive covenant is no longer relevant or is preventing reasonable property use, there are several ways it can be removed or modified:
Mutual agreement: If the covenant benefits a specific party, such as a neighbouring landowner, they may agree to formally remove or modify it.
Lands Tribunal application: Homeowners can apply to the Upper Tribunal (Lands Chamber) to have a covenant discharged or modified if it is obsolete, unreasonable, or preventing reasonable
use of the land.
Lack of enforcement: If a covenant has not been enforced for many years, it may no longer be valid. Seeking legal advice can clarify whether it is still enforceable.
Indemnity insurance: If removal isn’t possible, indemnity insurance can provide financial protection against the risk of future enforcement actions.
👉 For more information, head to our guide on removing restrictive covenants.
FAQ
Can you ignore a restrictive covenant?
Ignoring a restrictive covenant can lead to legal consequences, including court action and financial penalties.
Who enforces restrictive covenants?
Typically, the person or organisation that benefits from the covenant, such as a neighbouring landowner, property developer, or estate management company.
Can a restrictive covenant be removed automatically?
In some cases, a covenant may become unenforceable over time, especially if it has not been enforced for many years.
Do restrictive covenants expire?
Some restrictive covenants may become invalid if they are no longer relevant or enforceable, but this is not automatic. Legal advice may be required to confirm their status.
Final thoughts
Breaching a restrictive covenant can lead to legal and financial consequences, so it is crucial to understand the restrictions on a property before making any changes. If you are unsure about a covenant or believe it is outdated, seeking legal advice from a property solicitor can help you explore potential solutions.
Disclaimer: This article only provides general information and does not constitute professional advice. For any specific questions, consult a qualified professional.
