Howard -Jones v Tate [2011] EWCA Civ 1330 (24 November 2011)

Howard -Jones v Tate [2011] EWCA Civ 1330 (24 November 2011)

Where a post-completion obligation in a contract for sale of land is breached, the innocent party is entitled to damages reflecting actual loss suffered, not rescission ab initio or return of the purchase price; the contract is discharged prospectively, not retrospectively.

Citation
[2011] EWCA Civ 1330
Parties
Claimant Respondent: Paul Martin Foster Howard-Jones; Defendant Appellant: Dennis Eaton Tate
Jurisdiction
England and Wales
Judgment Date
24 November 2011
Procedural Posture
Appeal / Court of Appeal Judgment on Appeal From County Court
Outcome
Appeal allowed, cross-appeal dismissed
Legal Topics
Remedies for Breach of Contract, Post Completion Obligations, Rescission, Damages Assessment, Sale of Land
Contract Law Property Law Remedies for Breach of Contract Post Completion Obligations Rescission Damages Assessment Sale of Land

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Parties

Paul Martin Foster Howard-Jones

Claimant Respondent

Dennis Eaton Tate

Defendant Appellant

Procedural Posture

Appeal / Court of Appeal Judgment on Appeal From County Court

Legal Issues

  1. 1 Whether the purchaser was entitled to rescind the contract for breach of a post-completion condition in a land sale
  2. 2 Whether damages should restore the purchaser to the pre-contractual position or compensate for actual loss

Ratio Decidendi

Where a post-completion obligation in a contract for sale of land is breached, the innocent party is entitled to damages reflecting actual loss suffered, not rescission ab initio or return of the purchase price; the contract is discharged prospectively, not retrospectively.

Court Disposition

Appeal allowed, cross-appeal dismissed

Orders

  • Matter remitted to Lincoln County Court for reassessment of damages before a different judge