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A Covenant is a magical construct. Created using the blood of a Sorceri and any other participants they are used to show compliance with an agreement.
For instance, a covenant with "I Will Not Lie" inscribed on it, will break when the person who made the covenant lies. The are used by Sorceri and other magical Loreans to help maintain alliances, and are a part of a Sorceri taking Sanctuary on their body.