Keshwala & Anor v Bhalsod & Anor [2021] EWCA Civ 492 (15 April 2021)

Keshwala & Anor v Bhalsod & Anor [2021] EWCA Civ 492 (15 April 2021)

Delay by a tenant in applying for relief from forfeiture, even if within the statutory six-month period under s.139(2) County Courts Act 1984, is a relevant discretionary factor. Relief may be refused where the delay is unexplained and prejudices the landlord, especially where the tenant fails to notify the landlord of their intention to seek relief. The High Court erred in treating any application within six months as necessarily prompt and in disturbing the trial judge's exercise of discretion without proper basis.

Citation
[2021] EWCA Civ 492
Parties
Claimant and Respondent: Navnit Savadas Keshwala; Claimant and Respondent: Kiran Mahesh Sharma; Defendant and Appellant: Sharda Bhalsod; Defendant and Appellant: Jayshree Bhalsod
Jurisdiction
England and Wales
Judgment Date
15 April 2021
Procedural Posture
Civil Appeal / Court of Appeal (civil Division) Second Appeal
Outcome
Appeal allowed; judgment of HHJ Hampton restored; relief from forfeiture refused.
Legal Topics
Relief From Forfeiture, Forfeiture for Non Payment of Rent, Discretionary Remedies, Delay in Seeking Relief, Peaceable Re Entry, County Courts Act 1984 S.139(2)
Property Law Landlord and Tenant Relief From Forfeiture Forfeiture for Non Payment of Rent Discretionary Remedies Delay in Seeking Relief Peaceable Re Entry County Courts Act 1984 S.139(2)

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Parties

Navnit Savadas Keshwala

Claimant and Respondent

Kiran Mahesh Sharma

Claimant and Respondent

Sharda Bhalsod

Defendant and Appellant

Jayshree Bhalsod

Defendant and Appellant

Procedural Posture

Civil Appeal / Court of Appeal (civil Division) Second Appeal

Legal Issues

  1. 1 Whether delay of less than six months in applying for relief from forfeiture can justify refusal of relief under s.139(2) County Courts Act 1984
  2. 2 Whether the lower courts correctly applied the principles governing relief from forfeiture for non-payment of rent after peaceable re-entry
  3. 3 Whether the exercise of discretion by the trial judge was properly disturbed on appeal

Ratio Decidendi

Delay by a tenant in applying for relief from forfeiture, even if within the statutory six-month period under s.139(2) County Courts Act 1984, is a relevant discretionary factor. Relief may be refused where the delay is unexplained and prejudices the landlord, especially where the tenant fails to notify the landlord of their intention to seek relief. The High Court erred in treating any application within six months as necessarily prompt and in disturbing the trial judge's exercise of discretion without proper basis.

Court Disposition

Appeal allowed; judgment of HHJ Hampton restored; relief from forfeiture refused.

Orders

  • The appeal is allowed.
  • The order of Martin Spencer J granting relief from forfeiture is set aside.