Lakes International Golf Management Ltd v Vincent

Lakes International Golf Management Ltd and Lakes International Golf Course Ltd sought to enforce a covenant against Hartley Clendin Vincent, the owner of a residential section at the Lakes Resort, requiring him to join, remain a member of, and meet all levies imposed by the "Golf Club." The covenant was registered against Vincent's property and stipulated that the Golf Club should be an incorporated society to provide for playing rights on the golf course. Vincent contended that the covenant was unenforceable since the golf course was operated by a proprietary club controlled by Lakes International Golf Management Ltd, which was not an incorporated society.

The legal issues centred on the enforceability of the covenant and the correct interpretation of the term "Golf Club" within it. The central question was whether the covenant required Vincent to join a proprietary golf club or an incorporated society, and whether the proprietary club constituted the correct entity as defined by the covenant.

The court examined the wording of the covenant and the extrinsic material referred to by the Court of Appeal. It concluded that the Court of Appeal had correctly interpreted the covenant. The term "Golf Club" was not a misdescription but identified the nature of the entity to be established in the future, which was an incorporated society. Since the proprietary golf club operated by Lakes International Golf Management Ltd was not an incorporated society, the covenant could not be enforced against Vincent by the appellants.

The Supreme Court dismissed the appeal, upholding the decision of the Court of Appeal that the covenant did not require Vincent to become a member of the proprietary golf club. The court emphasised that the extrinsic material was irrelevant to the interpretation of the covenant.