Greenweb Ltd v London Borough of Wandsworth

Greenweb Ltd v London Borough of Wandsworth

The Court held that section 15(3) of the Land Compensation Act 1961 imposes a mandatory assumption that planning permission would be granted for rebuilding buildings destroyed after 7 January 1937 and existing before 1 July 1948, regardless of the actual market value or the principle of equivalence. The Tribunal was correct to apply the statutory assumption, and the resulting compensation, though anomalous, is required by the clear wording of the Act.

Parties
Claimant/respondent: Greenweb Limited; Compensating Authority/appellant: London Borough of Wandsworth
Jurisdiction
England and Wales
Judgment Date
31 July 2008
Procedural Posture
Civil Appeal / Appeal From Lands Tribunal to Court of Appeal
Outcome
Appeal dismissed
Legal Topics
Land Compensation Act 1961, Planning Permission Assumptions, Principle of Equivalence, Statutory Construction
Compulsory Acquisition Land Law Statutory Interpretation Land Compensation Act 1961 Planning Permission Assumptions Principle of Equivalence Statutory Construction

Case Brief

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Parties

Greenweb Limited

Claimant/respondent

London Borough of Wandsworth

Compensating Authority/appellant

Procedural Posture

Civil Appeal / Appeal From Lands Tribunal to Court of Appeal

Legal Issues

  1. 1 Whether section 15(3) of the Land Compensation Act 1961 requires a mandatory assumption of planning permission for rebuilding destroyed buildings, resulting in compensation far exceeding market value
  2. 2 Whether the statutory assumption can be displaced if it leads to an anomalous or absurd result contrary to the principle of equivalence

Ratio Decidendi

The Court held that section 15(3) of the Land Compensation Act 1961 imposes a mandatory assumption that planning permission would be granted for rebuilding buildings destroyed after 7 January 1937 and existing before 1 July 1948, regardless of the actual market value or the principle of equivalence. The Tribunal was correct to apply the statutory assumption, and the resulting compensation, though anomalous, is required by the clear wording of the Act.

Court Disposition

Appeal dismissed

Orders

  • Compensation to Greenweb Limited assessed at £1.6 million as determined by the Lands Tribunal
  • No adjustment to compensation based on market value; statutory assumption applies