Inclusive Technology v Williamson

Inclusive Technology v Williamson

The landlord's covering letter and prior communications constituted a continuing representation of intention to refurbish, which became false when the landlord changed his mind and failed to inform the tenant. This amounted to misrepresentation or concealment under section 37A, entitling the tenant to compensation. The appropriate measure of compensation was the difference between the rent the tenant would likely have paid under a renegotiated tenancy and the rent actually paid at the new premises, over six years, discounted for immediate receipt.

Parties
Appellant: Inclusive Technology; Respondent: Williamson
Jurisdiction
England and Wales
Judgment Date
07 May 2009
Procedural Posture
Civil Appeal / Court of Appeal Judgment and Post Judgment Orders
Outcome
Appeal allowed in part
Legal Topics
Compensation for Possession Obtained by Misrepresentation, Section 37 a Landlord and Tenant Act 1954, Continuing Representations, Duty to Disclose Change of Intention
Landlord and Tenant Contract Law Compensation for Possession Obtained by Misrepresentation Section 37 a Landlord and Tenant Act 1954 Continuing Representations Duty to Disclose Change of Intention

Case Brief

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Parties

Inclusive Technology

Appellant

Williamson

Respondent

Procedural Posture

Civil Appeal / Court of Appeal Judgment and Post Judgment Orders

Legal Issues

  1. 1 Whether the landlord's failure to inform the tenant of a change in intention regarding refurbishment constituted misrepresentation or concealment under section 37A of the Landlord and Tenant Act 1954
  2. 2 Whether the tenant was entitled to compensation for vacating the premises based on the landlord's representations
  3. 3 How compensation should be calculated for loss sustained by the tenant

Ratio Decidendi

The landlord's covering letter and prior communications constituted a continuing representation of intention to refurbish, which became false when the landlord changed his mind and failed to inform the tenant. This amounted to misrepresentation or concealment under section 37A, entitling the tenant to compensation. The appropriate measure of compensation was the difference between the rent the tenant would likely have paid under a renegotiated tenancy and the rent actually paid at the new premises, over six years, discounted for immediate receipt.

Court Disposition

Appeal allowed in part

Orders

  • Tenant awarded compensation for loss of tenancy under section 37A, calculated as ₤48,000 (₤8,000 per year for six years), subject to discount for immediate receipt and setoff against statutory compensation and other sums.
  • Tenant awarded agreed removal expenses of ₤11,000.