McGahon v Crest Nicholson Regeneration Ltd [2010] EWCA Civ 842 (21 July 2010)

McGahon v Crest Nicholson Regeneration Ltd [2010] EWCA Civ 842 (21 July 2010)

The right to rescind under clause 4 could only be exercised while the condition (grant of the headlease) remained unperformed; once the headlease was granted, the right to rescind ceased to exist. The contract did not expressly provide for rescission after performance of the condition, and such a construction would be uncommercial.

Citation
[2010] EWCA Civ 842
Parties
Appellant: McGahon; Respondent: Crest Nicholson Regeneration Ltd
Jurisdiction
England and Wales
Judgment Date
21 July 2010
Procedural Posture
Civil Appeal / Appeal From County Court Judgment
Outcome
Appeal dismissed
Legal Topics
Conditional Contracts, Right of Rescission, Off Plan Property Purchase, Interpretation of Contract Clauses

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 2 Authorities cited 2 Party arguments 2 Amounts and remedies 4
Sign in to unlock

Parties

McGahon

Appellant

Crest Nicholson Regeneration Ltd

Respondent

Procedural Posture

Civil Appeal / Appeal From County Court Judgment

  1. 1 Whether the right to rescind under clause 4 of the contract could be exercised after the headlease had been granted but after the specified date
  2. 2 Proper construction of a conditional contract for the purchase of property

Ratio Decidendi

The right to rescind under clause 4 could only be exercised while the condition (grant of the headlease) remained unperformed; once the headlease was granted, the right to rescind ceased to exist. The contract did not expressly provide for rescission after performance of the condition, and such a construction would be uncommercial.

Court Disposition

Appeal dismissed