negative covenant
n.
A covenant that prevents someone from doing something, such as selling goods in the same region as someone else.

The Essential Law Dictionary. — Sphinx Publishing, An imprint of Sourcebooks, Inc. . 2008.


negative covenant
USA
negative covenant, Also known as a restrictive covenant.
An agreement or promise binding the person or persons giving the covenant to abstain from the performance of certain things or to restrict its actions in some other way.

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.


negative covenant
A provision found in an employment agreement or a contract of sale of a business that prohibits an employee or seller from competing in the same area or market.

Dictionary from West's Encyclopedia of American Law. 2005.


negative covenant
A provision found in an employment agreement or a contract of sale of a business that prohibits an employee or seller from competing in the same area or market.

Short Dictionary of (mostly American) Legal Terms and Abbreviations.

Look at other dictionaries:

  • Negative Covenant — A bond covenant preventing certain activities, unless agreed to by the bondholders. Negative covenants are written directly into the agreement creating the bond issue, are legally binding on the issuer, and exist to protect the best interests of… …   Investment dictionary

  • negative covenant — The usual form of restrictive covenant; a covenant which calls for refraining from certain acts or certain uses of property. 20 Am J2d Cov § 166 …   Ballentine's law dictionary

  • Negative covenant — A bond covenant that limits or prohibits altogether certain actions unless the bondholders agree. The New York Times Financial Glossary …   Financial and business terms

  • negative covenant — A provision in the lender s documents that prohibits the borrower from doing something in the future. For example, a provision prohibiting the borrower from acquiring additional debt during the term of the loan. American Banker Glossary A bond… …   Financial and business terms

  • covenant — cov·e·nant / kə və nənt/ n 1: an official agreement or compact an international covenant on human rights 2 a: a contract in its entirety or a promise within a contract for the performance or nonperformance of a particular act a covenant not to… …   Law dictionary

  • covenant-lite — USA A type of loan facility which has less financial covenant restrictions than is ordinarily required. Covenant lite loan facilities take various forms but may be broadly characterized as senior syndicated leveraged loan facilities with the… …   Law dictionary

  • negative — I adjective acrimonious, antagonistic, antipathetic, antipathetical, argumentative, at odds with, attacking, averse, belligerent, bickering, cantankerous, clashing, conflicting, confutative, contentious, contesting, contradictory, contrary,… …   Law dictionary

  • negative — A denial; a proposition by which something is denied; a statement in the form of denial. Two negatives do not make a good issue. As to negative covenant negative easement negative servitude negative statute negative testimony, see those titles @… …   Black's law dictionary

  • Covenant (law) — Property law Part of …   Wikipedia

  • Covenant-breaker — Bahá í Faith Central figures Bahá u lláh The Báb · Abdu l Bahá Key scriptur …   Wikipedia

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