North Eastern Properties Ltd v Coleman & Anor [2010] EWCA Civ 277 (19 March 2010)

North Eastern Properties Ltd v Coleman & Anor [2010] EWCA Civ 277 (19 March 2010)

The 2% finders fee agreement was not a term of the land contracts but a separate agreement, confirmed by the entire agreement clause. The contracts were not void under section 2 of the 1989 Act. The appellants' notice to make time of the essence specified an unreasonable period and did not validly rescind the contracts.

Citation
[2010] EWCA Civ 277
Parties
Claimant/respondent: North Eastern Properties Limited; Defendant/appellant: Damien Coleman; Defendant/appellant: Patrick Quinn
Jurisdiction
England and Wales
Judgment Date
19 March 2010
Procedural Posture
Appeal / Judgment on Appeal From High Court (chancery Division)
Outcome
Appeal dismissed
Legal Topics
Specific Performance, Entire Agreement Clause, Section 2 Law of Property (miscellaneous Provisions) Act 1989, Rescission, Vendor and Purchaser Dispute
Property Law Contract Law Specific Performance Entire Agreement Clause Section 2 Law of Property (miscellaneous Provisions) Act 1989 Rescission Vendor and Purchaser Dispute

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Parties

North Eastern Properties Limited

Claimant/respondent

Damien Coleman

Defendant/appellant

Patrick Quinn

Defendant/appellant

Procedural Posture

Appeal / Judgment on Appeal From High Court (chancery Division)

Legal Issues

  1. 1 Whether omission of an agreed 2% finders fee from written contracts renders them void under section 2 of the Law of Property (Miscellaneous Provisions) Act 1989
  2. 2 Whether the appellants validly rescinded the contracts by accepting a repudiatory breach due to delay in completion

Ratio Decidendi

The 2% finders fee agreement was not a term of the land contracts but a separate agreement, confirmed by the entire agreement clause. The contracts were not void under section 2 of the 1989 Act. The appellants' notice to make time of the essence specified an unreasonable period and did not validly rescind the contracts.

Court Disposition

Appeal dismissed

Orders

  • Specific performance order upheld
  • Respondent ordered to pay the 2% finders fee counterclaimed by appellants with interest