Watergate Properties (Ellesmere) Ltd v Securicor Cash Services Ltd

Watergate Properties (Ellesmere) Ltd v Securicor Cash Services Ltd

The arbitrator was obviously wrong to deduct supplementary rent from the market rent at the review date, as the supplementary rent was no longer a subsisting term and its inclusion would perpetuate a spent liability contrary to established principles of lease interpretation.

Parties
Claimant: Watergate Properties (Ellesmere) Ltd; Defendant: Securicor Cash Services Ltd
Jurisdiction
England and Wales
Judgment Date
08 November 2005
Procedural Posture
Application for Permission to Appeal Under Arbitration Act 1996 / Judgment on Permission to Appeal and Appeal
Outcome
Permission to appeal granted; appeal allowed; arbitrator's award varied by removing the deduction for supplementary rent.
Legal Topics
Rent Review, Lease Interpretation, Arbitration Appeal, Supplementary Rent, Market Rent Determination
Arbitration Landlord and Tenant Property Law Rent Review Lease Interpretation Arbitration Appeal Supplementary Rent Market Rent Determination

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 4 Authorities cited 6 Party arguments 2 Amounts and remedies 5
Sign in to unlock

Parties

Watergate Properties (Ellesmere) Ltd

Claimant

Securicor Cash Services Ltd

Defendant

Procedural Posture

Application for Permission to Appeal Under Arbitration Act 1996 / Judgment on Permission to Appeal and Appeal

Legal Issues

  1. 1 Whether the arbitrator was obviously wrong to include a deduction for supplementary rent in determining market rent
  2. 2 Whether the hypothetical lease should include an obligation to pay supplementary rent for the first 15 years of the hypothetical term
  3. 3 Whether the arbitrator's decision substantially affects the rights of the parties

Ratio Decidendi

The arbitrator was obviously wrong to deduct supplementary rent from the market rent at the review date, as the supplementary rent was no longer a subsisting term and its inclusion would perpetuate a spent liability contrary to established principles of lease interpretation.

Court Disposition

Permission to appeal granted; appeal allowed; arbitrator's award varied by removing the deduction for supplementary rent.

Orders

  • Permission to appeal granted
  • Appeal allowed