Richard Gennard v Leicester City Council

Richard Gennard v Leicester City Council

No compensation is payable under section 84(1)(ii) because, on the evidence, the restrictive covenant did not reduce the consideration received for the land at the time of sale. At the valuation date, planning policy made further development outside the village envelope highly unlikely, and there was no evidence that the restriction depressed the sale price. The restriction aligned with planning policy and did not affect the auction outcome.

Parties
Applicant: Richard Gennard; Objector: Leicester City Council
Jurisdiction
England and Wales
Judgment Date
09 April 2025
Procedural Posture
Application Under Section 84 of the Law of Property Act 1925 / Final Determination on Written Representations
Outcome
Application for modification of restrictive covenant granted; no compensation payable.
Legal Topics
Restrictive Covenants, Modification of Restrictive Covenants, Compensation Under Section 84(1)(ii), Planning Permission

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Parties

Richard Gennard

Applicant

Leicester City Council

Objector

Procedural Posture

Application Under Section 84 of the Law of Property Act 1925 / Final Determination on Written Representations

  1. 1 Whether the restrictive covenant should be modified to permit implementation of planning permission for a new dwelling
  2. 2 Whether any compensation is payable to the objector under section 84(1)(ii) of the Law of Property Act 1925

Ratio Decidendi

No compensation is payable under section 84(1)(ii) because, on the evidence, the restrictive covenant did not reduce the consideration received for the land at the time of sale. At the valuation date, planning policy made further development outside the village envelope highly unlikely, and there was no evidence that the restriction depressed the sale price. The restriction aligned with planning policy and did not affect the auction outcome.

Court Disposition

Application for modification of restrictive covenant granted; no compensation payable.

Orders

  • The restrictive covenant in the Charges Register for 49 Main Street, Rotherby, Leicestershire LE14 2LP is modified under section 84(1)(aa) of the Law of Property Act 1925 to permit implementation of the planning permission granted on 30 November 2022 by Melton Borough Council under reference 22/01095/FUL, including...