Restrictive covenants can create tension between developers and homeowners, especially when responsibilities for enforcement are unclear. A recent New Homes Ombudsman decision highlights the importance of providing clear, unambiguous information about covenants during the sales process to manage expectations post-completion.
What were the circumstances?
The homeowner lived in a property with two private parking spaces accessed via a shared driveway. The transfer documents included restrictive covenants preventing obstruction of shared accessways and prohibiting nuisance or disturbance to other residents.
The homeowner raised concerns about neighbours and visitors parking irresponsibly in the shared access driveway and turning circle. They installed a sign to discourage such parking; however, the developer asked for the sign to be removed. Following this, they met with the homeowner to discuss the issue and subsequently wrote to residents reminding them to park considerately and use the visitor bays.
Despite these steps, the homeowner remained dissatisfied, asserting the developer had failed to enforce the covenants and that parking issues continued. They instructed a private solicitor and made a complaint to the New Homes Quality Board.
What was the outcome?
The Ombudsman decided that the homeowner had been provided with all the relevant information at the reservation stage, including details about the boundaries, parking and shared accessways. The homeowner was also found to be aware of the restrictive covenants in their title deeds. The Ombudsman found that there was no evidence that the developer had promised to enforce these covenants or to contact specific neighbours about any breaches, and that the developer’s actions had been reasonable.
All this considered, the Ombudsman decided that responsibility for resolving the ongoing issues lay with the homeowner as the covenant’s beneficiary, and not with the developer. The complaint, therefore, was not upheld.
