Covenant of Grace

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Convenant Of Grace, the eternal plan of redemption entered into by the three persons of the Godhead, and carried out by them in its several parts. In it the Father represented the Godhead in its indivisible sovereignty, and the Son his people as their surety (John 17:4, 6, 9; Isa. 42:6; Ps. 89:3). The conditions of this covenant were, (1) On the part of the Father (a) all needful preparation to the Son for the accomplishment of his work (Heb. 10:5; Isa. 42:1-7); (b) support in the work (Luke 22:43); and (c) a glorious reward in the exaltation of Christ when his work was done (Phil. 2:6-11), his investiture with universal dominion (John 5:22; Ps. 110:1), his having the administration of the covenant committed into his hands (Matt. 28:18; John 1:12; 17:2; Acts 2:33), and in the final salvation of all his people (Isa. 35:10; 53:10, 11; Jer. 31:33; Titus 1:2). (2) On the part of the Son the conditions were (a) his becoming incarnate (Gal. 4:4, 5); and (b) as the second Adam his representing all his people, assuming their place and undertaking all their obligations under the violated covenant of works; (c) obeying the law (Ps. 40:8; Isa. 42:21; John 9:4, 5), and (d) suffering its penalty (Isa. 53; 2 Cor. 5:21; Gal. 3:13), in their stead. Christ, the mediator of, fulfils all its conditions in behalf of his people, and dispenses to them all its blessings. In Heb. 8:6; 9:15; 12:24, this title is given to Christ.

Contents

Man In the Covenant of Grace

It may be defined as that gracious agreement between God and the elect sinner in Christ, in which God gives Himself with all the blessings of salvation to the elect sinner, as the sinner embraces Christ and all His merits by faith. Deut. 7:9; 2 Chron. 6:14; Ps. 25:10, 14; 103:17, 18.

On the basis of and as the outworking of the Covenant of Redemption God established the covenant of grace, a covenant of mercy toward man, which represents the way in which the blessings of redemption are mediated to the sinner. For the sake of clearness we distinguish between the covenant of redemption and the covenant of grace. The two are so closely related that they can be and sometimes are, considered as one. The former is the eternal foundation of the latter.It is that gracious arrangement of God made with believers and their children, in which God promises eternal salvation in the way of repentance and the obedience of faith.

References to the Abrahamic Covenant:
Cf. Gen. 17:7; Ex. 19:5; 6a; Jer. 31:33 for the essential promise.
Gen. 3:15. “And I will put enmity between thee and the woman, and between thy seed and her seed: he shall bruise thy head, and thou shalt bruise his heel.”
Gen. 3:15: “And I will put enmity between thee and the and thee and thy seed after thee throughout their generations for an everlasting covenant, to be a God unto thee and to thy seed after thee.”
Gen. 15:6. “And he (Abraham) believed in Jehovah, and He reckoned it to him for righteousness.”
Ex. 19:5, 6a. “Now therefore, if ye will obey my voice indeed, and keep my covenant, then shall ye be mine own possession from among all peoples: for all the earth is mine: and ye shall be unto me a kingdom of priests, and a holy nation.”
Ps. 25:14. “The friendship of Jehovah is with them that fear Him; and He will show them His covenant.”
Ps. 103:17, 18. “But the lovingkindness of Jehovah is from everlasting to everlasting upon them that fear Him, and His righteousness unto children’s children; to such as keep His covenant, and to those that remember His precepts to do them.”
Jer. 31:31–33. “Behold, the days come, saith Jehovah, that I will make a new covenant with the house of Israel, and with the house of Judah: not according to the covenant that I made with their fathers in the day that I took them by the hand to bring them out of the land of Egypt; which my covenant they brake, although I was a husband unto them, saith Jehovah. But this is the covenant that I will make with the house of Israel after those days, saith Jehovah: I will put my law in their inward parts, and in their heart will I write it; and I will be their God, and they shall be my people.”
Acts 2:39. “For to you is the promise, and to your children, and to all that are afar off, even as many as the Lord our God shall call unto Him.”
Gal. 3:7, 9. “Know therefore that they that are of faith, the same are sons of Abraham--. So then they that are of faith are blessed with faithful Abraham.”

The Purpose of the Covenant is Fellowship with God

The covenant is a covenant of mutual friendship or communion of Life. The covenant of grace may be contemplated as an end which God had in view in the covenant of redemption, as an ultimate spiritual reality which He brings to realization in the course of history through the ministry of the Word and the powerful operation of the Holy Spirit, and which will be perfected at the time of the consummation of all things. From this point of view it is a relation sought and established, namely, a relation of friendship between God and man, a communion of life in which man is made to share in the divine life, the life of the resurrection.

It represents a condition in which privileges are give for spiritual ends, the promises of God are embraced by a living faith, and the promised blessings are brought to full fruition. In view of the fact that in Abraham the central blessing of the covenant was realized, he is called “the friend of God,” Jas. 2:23. Jesus calls His disciples friends, because they share the covenant blessing of the new life and live in obedience to His commandments, John 15:14, 15. Several passages of Scripture speak of God’s covenant mercies as realized in those that fear Him, Deut. 7:9; II Chron. 6:14; Ps. 103:17, 18. The way in which this is done in the new dispensation is indicated in Jer. 31:31–34; Heb. 10:8–12. The final realization of the covenant is described in Rev. 21:3, “And I heard a great voice out of the throne saying, Behold, the tabernacle of God is with men, and He shall dwell with them, and they shall be His peoples, and God Himself shall be with them, and be their God.”

The Promises of the Covenant

Every covenant has two sides: it offers certain privileges and imposes certain obligations. There are in it promises and requirements. The main promise of the covenant, which includes all others, is contained in the often repeated words, “I will be a God unto thee and to thy seed after thee,” Jer. 31:33; 32:38–40; Ezek. 34:23–25, 30, 31; 36:25–28; Heb. 8:10; 2 Cor. 6:16–18. This promise includes all others, such as the promise of temporal blessings, of justification, of the Spirit of God, and of final glorification in a life that never ends. Job 19:25–27; Ps. 16:11; 73:24–26; Isa. 43:25; Jer. 31:33, 34; Ezek. 36:27; Dan. 12:2, 3; Gal. 4:4, 5, 6; Tit. 3:7; Heb. 11:7; Jas. 2:5.

The main promise of the covenant, which includes all other promises, is contained in the oft-repeated words, “I will be a God unto thee and to thy seed after thee.” This promise in its full or in an abbreviated form is found in several Old and New Testament passages, especially in passages which speak of the introduction of a new phase of the covenant life, or which refer to a renewal of the covenant, Jer. 31: 33; 32:38–40; Ezek. 34:23–25, 30, 31; 36:25–28; 37:26, 27; Heb. 8:10; II Cor. 6:16–18. The promise is fully realized when at last the new Jerusalem descends out of heaven from God, and the tabernacle of God is pitched among men, Rev. 21:3. This grand promise is re-echoed time and again in the jubilant exultation of those who stand in covenant relationship to God, “Jehovah is my God.” This one promise really includes all other promises, such as (a) the promise of various temporal blessings, which often serve to symbolize those of a spiritual kind (b) the promise of justification, including the forgiveness of sins, the adoption of children, and a claim to life eternal; (c) the promise of the Spirit of God for the application, full and free, of the work of redemption and of all the blessings of salvation; and (d) the promise of final glorification in a life that never ends, Job 19:25–27; Ps. 16:11; 73:24–26; Isa. 43:25; Jer. 31:33, 34; Ezek. 36:27; Dan. 12:2, 3; Gal. 4:5, 6; Tit. 3:7; Heb. 11:7; Jas. 2:5.

The Requirements of the Covenant

It is sometimes said that the covenant of grace, in distinction from the covenant of works, contains no requirements and imposes no obligations on man. However, this is hardly correct in the absolute sense of the word. It is perfectly true that there are no requirements of a meritorious character. Man earns nothing by meeting the demands of the covenant. It is also true that all the requirements of the covenant are covered by the promises of God, that is, God promises to give man all that He requires of him. Hence the prayer of Augustine: “Lord, give what Thou commandest, and then command what Thou wilt.” Bearing these things in mind, however, it is perfectly correct to speak of covenant requirements. There are especially two things which God demands of those who stand in covenant relationship to Him. He requires of them, (a) that they accept the covenant and covenant promises by faith, and thus enter upon the life of the covenant; and (b) that, from the principle of the new life born within them, they consecrate themselves to God in a new obedience.

The covenant of grace is not a covenant of works; it requires no work with a view to merit. However, it does contain requirements and imposes obligations on man to receive its benefits. By meeting these demands of the covenant man earns nothing, but merely exercises the gifts which God gives to him through the merits of Jesus Christ. It should be borne in mind that even the requirements are covered by the promises: God gives man all that He requires of him because Jesus Christ not only merited redemption but procured all the means whereby this redemption would be applied.

Characteristics of the Covenant of Grace

There are several characteristics of the covenant of grace.

It is a Gracious Covenant in Contrast to Meritorious Works

The covenant of grace is a gracious covenant, because it is a fruit and manifestation of the grace of God to sinners. It is grace from start to finish. This covenant may be called gracious, (a) because in it God allows a surety to meet our obligations; (b) because He Himself offers the surety in the person of His Son, who meets the demands of justice; and (c) because by His grace, revealed in the operation of the Holy Spirit, He enables man to live up to his covenant responsibilities.

It is a Trinitarian Covenant

The triune God is operative in the covenant of grace. It has its origin in the elective love and grace of the Father, finds its legal foundation in the suretyship of the Son, and is fully realized in the lives of sinners only by the effective application of the Holy Spirit, John 1:16; Eph. 2:8; I Pet. 1:2.

It is an Eternal Covenant and therefore Unbreakable

It is also an eternal and inviolable covenant, to which God will always be true, though men may break it. If we distinguish between the covenant of redemption and the covenant of grace, then we cannot say that the latter was established in eternity. We can maintain, however, that it will endure eternally, Gen. 17:19; II Sam. 23:5; Heb. 13:20. And because the covenant is eternal, it is also inviolable, Heb. 6:17. God remains forever true to His covenant and will invariably bring it to full realization in the elect. This does not mean, however, that man will never break the covenant relationship.

Gen. 17:19b. “And I will establish my covenant with him for an everlasting covenant for his seed after him.” Isa. 54:10. “For the mountains may depart, and the hills be removed; but my lovingkindness shall not depart from thee, neither shall my covenant of peace be removed, saith Jehovah that hath mercy on thee.”
Isa. 24:5. “The earth also is polluted under the inhabitants thereof; because they have transgressed the laws, violated the statutes, broken the everlasting covenant.”

It is a Particular and not a Universal Covenant

This means that the essence of the covenant, the relation of friendship with God and of life in communion with Him, will be realized only in the elect, and that even the external covenant relationship does not extend to all men, but only to believers and their seed. The New Testament dispensation of the covenant may be called universal in the sense that in it the covenant is extended to all nations, and is no more limited to the Jews, as it was in the old dispensation. Even in its widest extent it includes only a part of mankind, and is therefore particular. If its New Testament dispensation is called universal, this is done only in view of the fact that it is not limited to the Jews, as the Old Testament dispensation was.

It is Both Conditional and Unconditional

The covenant is both conditional and unconditional. It is conditional because it is dependent on the suretyship and the merits of Christ. Man’s conscious entrance into the covenant as a communion of life is conditioned by faith and his continued enjoyment of its blessings by the persistent exercise of faith.

It is testamentary as a free and sovereign disposition on the part of God. At the same time there is no condition in the covenant that can be regarded as meritorious. In that sense it is unconditional in the sense that it does not depend on any merits of man. The sinner is called upon to repent and believe, but his faith and repentance do not in any way merit the blessings of the covenant, they are gifts of grace merited by Christ.

It is a Testament

It is called a ‘testament’ in Heb. 9:16, 17. This name stresses the facts, (1) that it is a free arrangement of God; (2) that its New Testament dispensation was ushered in by the death of Christ; and (3) that in it God gives what He demands.

The covenant is, of course, two-sided, that is, it is an agreement between two parties. An absolutely one-sided covenant is a contradiction in terms. Yet there is a sense in which the covenant of grace can be called one-sided. In origin the covenant is simply of the nature of a divine disposition or arrangement by which God communicates His blessings to man. Moreover, in the covenant God freely gives all that He demands. And because the covenant is a free and sovereign disposition on the part of God, it can also be called a testament, Heb. 9:16, 17. This name stresses the facts, (a) that the covenant is as a whole a gift of God; (b) that its New Testament dispensation was ushered in by the death of Christ; (c) that it is firm and inviolable; and (d) that in it God gives what He demands.

Heb. 9:17, 18. “For a testament is of force where there hath been death; for it doth never avail while he that made it liveth. Wherefore even the first covenant hath not been dedicated without blood.”

Unity of the Covenant of Grace

This covenant is also characterized by unity. It is essentially the same in all dispensations, though the form of its administration changes. The essential promise is One the same, Gen. 17:7; Heb. 8:10, the gospel is the same, Gal. 3:8, the requirement of faith is the same, Gal. 3:6,7, and the Mediator is the same, Heb. 13:8.

Gal. 3:7, 9 under b. above. Rom. 4:11. “And he received the sign of circumcision, a seal of the righteousness of the faith which he had while he was in uncircumcision; that he might be the father of all them that believe, though they be in uncircumcision, that righteousness might be reckoned unto them.”

The covenant is essentially the same in all dispensations, though the form of its administration changes. The essential covenant promise is the same throughout, Gen. 17:7; Ex. 19:5; 20:1; Deut. 29:13; II Sam. 7:14; Jer. 31: 33; Heb. 8:10. The gospel, which represents the contents of the covenant, is the same in both Testaments, Gen. 3:15; Gal. 1:8, 9; 3:8. The way in which Abraham obtained the realization of the covenant promise, is also the way in which the New Testament believers obtain this, Rom. 4:9–25; Gal. 3: 7–9, 17, 18. Moreover, the Mediator is the same yesterday, today, and forever, Heb. 13:8; Acts 4:12.

Christ is the Mediator of the New Covenant

The Role of Christ in the Covenant of Grace: Christ is represented as the Mediator of the new covenant, 1 Tim. 2:5; Heb. 8:6; 9:15; 12:24. He is Mediator, not only merely in the sense that He intervenes between God and man to sue for peace and to persuade to it, but in the sense that He is armed with full power to do all that is necessary for the actual establishment of peace. As our Surety, Heb. 7:22, He assumes our guilt, pays the penalty of sin, fulfills the law, and thus restores peace.

Christ is represented in Scripture as the Mediator of the Covenant. A mediator in the general sense of the word is simply a person who mediates between two opposite parties in an attempt to bring them together. The Scriptural idea of Christ as our Mediator, however, is far more specific and more profound. Christ is Mediator in more than one sense. He intervenes between God and man, not merely to sue for peace and to persuade to it, but armed with full power to do all that is necessary for the actual establishment of peace. He is the Mediator who, as our surety, takes upon Himself the guilt of sinners, pays the penalty of sin, fulfils the law, and thus restores those whom He represents to the right relation to God, Heb. 7:22; 8:6; 9:15; 12:24. But He is also the Mediator of access, who reveals to men the truth concerning God and their relation to Him, and the conditions of acceptable service; who persuades and enables them to receive the truth, and directs and sustains them in all circumstances of life, so as to perfect their deliverance, Rom. 5:2. In doing all this He employs the ministry of men, II Cor. 5:20.

Contracting Parties in the Covenant of Grace

God is the first party in the covenant of grace, since He takes the initiative and graciously determines the relation in which the second party will stand to Him. He appears in the covenant as a gracious and forgiving Father, willing to pardon sin and to restore sinners to His blessed communion. He establishes the covenant and determines the relation in which the second party will stand to Him.

There are differences over who the second party is. The prevailing opinion in Reformed circles is that it is the elect sinner in Christ. In general it may be said that God established the covenant with fallen man. Though there was no historical limitation at first, it became evident in the days of Abraham that it was not intended to include all men. For that reason it does not satisfy to say that God made the covenant with the sinner. There must be some limitation, and therefore some hold that God made the covenant with Abraham and his seed, that is, his natural but especially his spiritual descendants; or, slightly different, with believers and their seed. The majority maintain, however, that He entered into covenant relationship with the elect or the elect sinner.

The solution to the difference of opinion is found in the fact that Scripture presents Christ as the Mediator of the New Covenant. He stands on the side of God to maintain all the just demands of His Covenant (Mosaic: Moral, Judicial, and Ceremonial). He also stands on the side of sinners who are the elect of God. He is their federal head and representative. Thus God deals with such sinners in the person of Christ by means of substitution. He imputes to Christ their sin, and He later imputes Christ’s righteousness to them. God thus fulfills the demands that He set in the Mosaic Covenant through a man, the man He chose, His Servant, the Son of Man. Another way of stating it is that God made His covenant with sinners in Christ. Christ is thus the only way to the Father. Only in this way can we say that God established His covenant of grace with the elect, as they are contemplated in Christ. It is then that gracious agreement between God and the elect sinner in Christ, in which God gives Himself through Christ with all the blessings of salvation to the elect sinner, and the latter embraces Christ and all His gracious gifts by faith.

Source: Berkhof's Manual and Summary, Easton

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