Legal Definitions - future covenant

A future covenant is a type of covenant that can only be breached if there is interference with the possession of the grantee or the grantee's successors. This type of covenant includes the covenant for further assurances, the covenant for quiet enjoyment, and the covenant of warranty. The distinction between future and present covenants is important in determining when the statute of limitations begins to run.

Suppose John sells a piece of land to Jane and includes a covenant of warranty in the deed. This means that John promises to defend Jane against any lawful or reasonable claims of superior title by a third party and to indemnify Jane for any loss sustained by the claim. If a third party comes forward and claims ownership of the land, John is responsible for defending Jane and paying any damages. This is an example of a future covenant because it can only be breached if there is interference with Jane's possession of the land.