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So, it is legal for former owner to retain control over the property of the current owner!? So much for sancrosanctity of private property... Do you know whether anyone tried to test enforcability of those stipulations in court?

Well, if it's part of the contract of the sale of the land then I imagine it's pretty ironclad. I know someone who pulled out of a house purchase because the seller was demanding a large cut of the proceeds if further houses were built in the huge back garden at any time in the next twenty years.

Peter