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LIDSTONE, YOUNG, ANDERSON

BARRISTERS & SOLICITORS

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591 - 1803 Douglas Street 1414 - 83 Nelson Street
Vietorla, 8.0. Box 12147, Nelson Square
V8T 5C3 Vancouver, §.C. V6Z2H2
Telephone: (604) 383-2063 Telephone: (604) 689-7400
Telecopier: (604) 689-3444 Telecopier: (604) 689-3444

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BY TALECORTER

January 8, 1990

Mr. Tony Chong,

city Engineer

City of Pdrt Coquitlan
2580 Shaughnessy Street
Port Coquitlam, B.C.
V3C 248

Dear Tonys

Res Proposed Section 213 Covenant
Lot 43, Ganstar Phase 6B Subdivision
Your |File No. L0290/TC
our File No. 19-E-100

Further to cur telephone conversation and your memorandum af
today's date, we have reviewad the cantent of the proposed Covenant
for Lot 48. In particular, we have considered whether the city
can effectively protect itself from claims arising “rom non-
enforcament of the Covenant.

Section 215(2)(a) of the Land Title Act, R.S.B.C. 1979, c. 219
empowers a Section 215 Covenant to includa "an indemnity of the
Covenantea against any matter agreed to by the Covenantor" as an
integral part of the Covenant. Therefore the owner can agree to
protect the city against claims by third parties. However, no

express provision is made for inclusion of a releasa of liability
in a Section 215 Covenant.

At commonilaw, it ig not likely that a release can ba made to "run
with the land" so as to bind a future owner who has not personally
granted the release. Nevertheless, we recommend that the Covenant
include an indemnity and that a release be incorporated into the
indemnity Wa recommend that paragraph 1(b) of the Covenant be
déietéed and yvaplacad as follows:

"17, | (6) The Covenantor shail indemnify and release the City
against any claim or action arising from the
gvanting, vegistration, enforcement or non
enforcement of this Covenant. "

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