South Bank Hotel Management Company Limited v Galliard Hotels Limited & Ors
The court refused to grant the broad declaration sought by Galliard due to lack of pleading and risk of unintended consequences. Lodgeshine was not entitled to all costs of the Main Claim under the Underlease due to evidential gaps. For the Rent Claim, the Underlease entitled Lodgeshine to indemnity costs. Costs of...
Source-derived case information.
- Parties
- Claimant: South Bank Hotel Management Company Limited; Defendant: Galliard Hotels Limited; Defendant: Stephen Stuart Solomon Conway; Defendant: Christopher John Duffy; Defendant: Lodgeshine Limited; Defendant: Galliard Homes Limited
- Jurisdiction
- England and Wales
- Judgment Date
- 13 February 2025
- Procedural Posture
- Civil Commercial/property / Post Trial Consequential Judgment on Costs and Orders
- Outcome
- Declaration refused; costs orders made; permission to appeal refused; limited stay granted.
- Legal Topics
- Costs, Indemnity Costs, Standard Costs, Disclosure, Rectification, Limitation, Part 36 Offers, Stay of Execution
Source-derived case record
Summary, issues, holding and outcome
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Parties
South Bank Hotel Management Company Limited
Claimant
Galliard Hotels Limited
Defendant
Stephen Stuart Solomon Conway
Defendant
Christopher John Duffy
Defendant
Lodgeshine Limited
Defendant
Galliard Homes Limited
Defendant
Procedural Posture
Civil Commercial/property / Post Trial Consequential Judgment on Costs and Orders
Legal Issues
- 1 Whether to grant a declaration extinguishing SBHMC's equitable interest in Lodgeshine's leasehold title
- 2 Whether Lodgeshine is contractually entitled to indemnity costs under the Underlease for the Main Claim and Rent Claim
- 3 Whether costs should be awarded on the indemnity or standard basis and from what date
Ratio Decidendi
The court refused to grant the broad declaration sought by Galliard due to lack of pleading and risk of unintended consequences. Lodgeshine was not entitled to all costs of the Main Claim under the Underlease due to evidential gaps. For the Rent Claim, the Underlease entitled Lodgeshine to indemnity costs. Costs of the Main Claim were awarded to Galliard on the standard basis up to 15 May 2024 and on the indemnity basis thereafter due to SBHMC's unreasonable persistence in fraud allegations after disclosure. Galliard's recoverable costs were reduced by 15% to reflect SBHMC's partial success. For the Rent Claim, Part 36 consequences applied after the relevant period, with indemnity costs...
Court Disposition
Declaration refused; costs orders made; permission to appeal refused; limited stay granted.
Orders
- No declaration extinguishing SBHMC's equitable interest granted.
- Galliard awarded 85% of its costs of the Main Claim: standard basis up to 15 May 2024, indemnity basis thereafter.
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