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Exclusives- Drafting Clarity Amongst The Chaos

Mar 1, 2007 | Article 

Written by Natalie Vukvoich
ICSC Canadian Law Conference

Exclusives vs. Restrictive

Definition of an 'exclusive'- the right to be the only one in a shopping centre to offer particular goods or services- the covenant is personal to the parties to the the contract, but will also bind assignees who covenant in favour of the other contracting party.

Definition of a 'restrictive'- a negative covenant in favour of dominant lands whereby the servient lands will not be used to offer particular goods or services - if the covenant 'touches and concerns' the lands it will bind the lands (not just the parties, i.e. it will apply to any assignee whether or not they covenant in favour of the other contracting party).

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