You are an intern at the Supreme Court who has been assigned to Joosey J, who has asked you to discuss with respect to an application made by Percival for the discharge and modification of restrictive covenants over Redacre. The application was resisted by Quentin and Rebecca, the respective owners of the neighbouring lots Blueacre and Greenacre. All the lots are located on the road "Colourful Avenue"

Below are the facts which Joosey J was able to gather: Vivian was the original owner of Redacre, Blueacre and Greenacre. Each of the lots contained a single dwelling-house. Twenty-five years ago Vivian sold Redacre to Peaches, with the agreement between the two containing the following:

"The Purchaser, for himself and his successors-in-title, hereby covenants with the Vendor and his successors-in-title that he (the Purchaser):

(i) will contribute no less than $10,000 per month to the Spectrum Charity or any other charity of the Purchaser's choosing;

(ii) will not at any time cause or permit the property hereby conveyed to be used otherwise than as a single private dwelling house;

(iii) will not at any time cause or permit the property hereby conveyed to be sub-divided."

Vivian sold Blueacre and Greenacre to Quincy and Rupert in the same month on identical terms. The covenants were endorsed on the certificates of title for the lots.

Newspaper advertisements with respect to the sale of Redacre, Blueacre and Greenacre from 25 years ago, placed by the real estate agents appointed by Vivian to aid in the sale of the lots, were in the following terms:

"Upscale residential homes for sale!

Three beautiful homes for sale on the idyllic Colourful Ave. The homes are guaranteed to hold their value, as the lots are to stay as is; no commercial conduct, no crowding the space with multiple houses. Only those who contribute to charity are welcome. Make an offer today!"

Between the time of the sales by Vivian and now, Redacre, Blueacre and Greenacre have changed ownership several times. As noted above, Redacre is now owned by Percival, and Blueacre and Greenacre are owned by Quentin and Rebecca respectively.

Seven months ago Percival demolished the dwelling house on Redacre and started constructing a townhouse complex. Each lot on Colourful Drive, save Blueacre and Greenacre, contains townhouse or apartment complexes.

With the complex 80% complete, Percival decided to apply for the discharge or modification of the covenants, relying on all four grounds in the relevant statutory provision.

Quentin and Rebecca, having been served with notice of the application, objected. They stated in evidence that the did not seek an injunction because they were afraid of the risk associated with the cross-undertaking as to damages required for such an application.

Prepare a memorandum to Joosey J advising on:

(i) the enforceability of the covenants,

(ii) whether any of the grounds for discharge or modification have been met,

and (iii) whether, should none of those grounds have been met, Joosey J ought to order the near complete structure demolished.