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Common use of Deed of Covenant and Restriction on Title Clause in Contracts

Deed of Covenant and Restriction on Title. In order to protect the Approved Use and the Secretary of State’s interest in any Fixed Asset the following provisions regarding the change of use/disposal of any Fixed Asset shall apply: (a) The Grant Recipient shall execute a Deed of Covenant in relation to the Approved Use. Where a Fixed Asset includes a freehold or leasehold interest in land and/or buildings then within 10 Working Days of the date of the Funding Agreement the Grant Recipient will apply to the Land Registry to register the Deed of Covenant and a restriction on the registers of title in the terms set out in the Deed of Covenant, and the Grant Recipient shall supply, within 5 Working Days of completion of registration of the application, a copy of the updated registered title to the Fixed Asset to the principal contact listed at paragraph 2 of the Project Specific Conditions at Schedule 1 of the Funding Agreement and to any other party nominated by the Secretary of State. (b) Without prejudice to clause 8.3, as a condition of any Disposal of the whole or any part of any Fixed Asset during the Useful Economic Life of such Asset, the Grant Recipient shall procure that the disponee executes a deed of covenant in similar terms to the Deed of Covenant whereby the Grant Recipient and any successor in title covenants to use the Fixed Assets for the Approved Use only, during the Useful Economic Life of the Fixed Asset.]

Appears in 4 contracts

Samples: European Regional Development Fund Capital Funding Agreement, European Regional Development Fund Capital Funding Agreement, Capital Funding Agreement