covenantee


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Related to covenantee: covenantor

covenantee

the person to whom the promise in a COVENANT is made.
Collins Dictionary of Law © W.J. Stewart, 2006

COVENANTEE. One in whose favor a covenant is made.

A Law Dictionary, Adapted to the Constitution and Laws of the United States. By John Bouvier. Published 1856.
References in periodicals archive ?
protect the covenantee in the enjoyment of the legitimate fruits of the
Statutory covenants are entered into by agreement between the landowner (as covenantor) and the state or local government (as covenantee).
Following Nordenfelt, Macnaghten LC's framework was routinely cited to explain the state of the law, but Herschell LC's stricter formulation was applied in reality, such that "a contract in restraint of trade was reasonable if it did no more than protect the interests of the covenantee".
Ibid ("the inquiry as to the validity of all covenants in restraint of trade must, I am disposed to think, now ultimately turn upon whether they are reasonable and whether they exceed what is necessary for the fair protection of the covenantees" at 558).
The test developed by Taft was whether the restraint "is merely ancillary to the main purpose of a lawful contract, and necessary to protect the covenantee, in the enjoyment of the legitimate fruits of the contract, or to protect him from the dangers of an unjust use of those fruits by the other party."(141) As analyzed by Judge Taft, the courts in the United States and in the United Kingdom, starting with decisions such as Mitchell v.
The common law recognized that restraints in an agreement by a seller of a business not to compete with the new owner for a certain time period were not restraints of trade.(143) After an extensive review of the case law, Taft concluded that "where such a relationship exists between the parties" restraints are usually enforceable if commensurate only with the reasonable protection of the covenantee in respect to the main transactions affected by the contract."(144) Judge Taft distinguished the cases restraining trade that involved a relationship between the parties, such as a partnership, vendor and vendee, and employer and employee, from those cases that involved no such relationship.
The question of validity of a covenant in restraint of trade (including, in this, a covenant against solicitation of the covenantee's customers or clients) is not really a question of law.
at 282, Judge Taft uses notions of legitimate business interests in setting out an early framework for evaluating contracts in partial restraint of trade as follows "no conventional restraint of trade can be enforced unless the covenant embodying it is merely ancillary to the main purpose of a lawful contract, and necessary to protect the covenantee in the full enjoyment of the legitimate fruits of the contract, or to protect him from the dangers of an unjust use of those fruits by the other party."
Justice Taft held that "no conventional restraint of trade can be enforced unless the covenant embodying it is merely ancillary to the main purpose of a lawful contract, and necessary to protect the covenantee in the enjoyment of the legitimate fruits of the contract, or to protect him from the dangers of an unjust use of those fruits by the other party.
(18) In cases involving privileged parties (like licensees or covenantees) or in cases involving a member of the public seeking to challenge the patent on public interest grounds, courts struggle to identify an underlying coercive cause of action for infringement based upon such affirmative acts by the patentee and declaratory plaintiff.
* Provide that regulation, monitoring and enforcement of covenants fall upon the non-governmental covenantees.