National Grid Gas Plc v Lafarge Aggregates Ltd

National Grid Gas Plc v Lafarge Aggregates Ltd

Compensation under Clause 7 of the Deed, incorporating the 1923 Mining Code, is not limited to the value of minerals left unworked but extends to consequential losses such as loss of profits from landfill use, provided the loss is causally connected, not too remote, and not due to unreasonable conduct.

Parties
Claimant: National Grid Gas Plc; Defendant: Lafarge Aggregates Ltd
Jurisdiction
England and Wales
Judgment Date
18 October 2006
Procedural Posture
Appeal From Interim Arbitration Award / Judgment on Question of Law
Outcome
Appeal dismissed
Legal Topics
Compensation for Loss of Profits, Interpretation of Deeds, Mining Rights, Statutory Incorporation, Landfill Rights, Easements
Contract Law Compensation Law Property Law Compensation for Loss of Profits Interpretation of Deeds Mining Rights Statutory Incorporation Landfill Rights +1 more

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Parties

National Grid Gas Plc

Claimant

Lafarge Aggregates Ltd

Defendant

Procedural Posture

Appeal From Interim Arbitration Award / Judgment on Question of Law

Legal Issues

  1. 1 Whether loss of profits from inability to use land for landfill is a recoverable head of loss under Clause 7 of the Deed dated 29th October 1971

Ratio Decidendi

Compensation under Clause 7 of the Deed, incorporating the 1923 Mining Code, is not limited to the value of minerals left unworked but extends to consequential losses such as loss of profits from landfill use, provided the loss is causally connected, not too remote, and not due to unreasonable conduct.

Court Disposition

Appeal dismissed

Orders

  • Appeal dismissed; costs to follow the event, subject to further submissions.