Covenant
Definition 1 of 2
Pro Tip 1/3
Binding Promise
A covenant in legal terms is a serious commitment with legal consequences if broken. The two companies formed a covenant not to reveal trade secrets.
Pro Tip 2/3
Contractual Terms
Covenants often specify actions parties must take or avoid. The covenant included a clause requiring the owner to repaint the house every five years.
Pro Tip 3/3
Implicit Trust
Entering a covenant implies a high level of mutual trust and is usually well thought out. Farmers made a covenant to share the irrigation system.