Snarecroft Ltd v Quantum Securities Ltd [2018] EWHC 2071 (Ch) (15 February 2018)

Snarecroft Ltd v Quantum Securities Ltd [2018] EWHC 2071 (Ch) (15 February 2018)

In the context of this lease, 'residential purposes' does not include hotel use; conversion to a hotel would infringe the covenant restricting use to residential purposes, as hotel use is transient and business-oriented, not residential.

Citation
[2018] EWHC 2071 (Ch)
Parties
Claimant: Snarecroft Ltd; Defendant: Quantum Securities Ltd
Jurisdiction
England and Wales
Judgment Date
15 February 2018
Procedural Posture
Civil / Summary Judgment Application
Outcome
Summary judgment granted for the claimant on the issue; hotel use is not permitted under the lease covenant.
Legal Topics
Lease Interpretation, Restrictive Covenants, Residential Vs Business Use
Property Law Landlord and Tenant Lease Interpretation Restrictive Covenants Residential Vs Business Use

Case Brief

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Parties

Snarecroft Ltd

Claimant

Quantum Securities Ltd

Defendant

Procedural Posture

Civil / Summary Judgment Application

Legal Issues

  1. 1 Whether the lease permits use of the premises as a hotel under the covenant restricting use to residential purposes

Ratio Decidendi

In the context of this lease, 'residential purposes' does not include hotel use; conversion to a hotel would infringe the covenant restricting use to residential purposes, as hotel use is transient and business-oriented, not residential.

Court Disposition

Summary judgment granted for the claimant on the issue; hotel use is not permitted under the lease covenant.

Orders

  • Defendant is restrained from using the premises as a hotel under the lease.
  • Costs of the application awarded to the claimant.