Graves v Graves & Ors

Graves v Graves & Ors

The tenancy agreement was entered into on the express basis that 90% of the rent would be paid by housing benefit. This was a fundamental assumption, and neither party assumed the risk of non-payment. An implied term existed that the tenancy would end if housing benefit was not payable. When the council refused to pay, the tenancy determined. Mrs Graves was liable for mesne profits only after notice to quit was served. The judge erred in varying the maintenance order in the possession proceedings without proper evidence or procedure.

Parties
Appellant: Terrence Clive Graves; Respondent: Karen Elizabeth Graves
Jurisdiction
England and Wales
Judgment Date
03 July 2007
Procedural Posture
Civil Appeal / Appeal From County Court Judgment
Outcome
Appeal allowed in part; orders of the lower court set aside; judgment for appellant for mesne profits less deposit balance; maintenance order set aside.
Legal Topics
Common Mistake, Frustration of Contract, Implied Terms, Mesne Profits, Variation of Maintenance Orders
Contract Law Landlord and Tenant Law Family Law Common Mistake Frustration of Contract Implied Terms Mesne Profits Variation of Maintenance Orders

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Parties

Terrence Clive Graves

Appellant

Karen Elizabeth Graves

Respondent

Procedural Posture

Civil Appeal / Appeal From County Court Judgment

Legal Issues

  1. 1 Whether the tenancy agreement was void for mistake or frustrated
  2. 2 Whether an implied term existed that the tenancy would end if housing benefit was not payable
  3. 3 Entitlement to occupation rent or mesne profits after the tenancy ended

Ratio Decidendi

The tenancy agreement was entered into on the express basis that 90% of the rent would be paid by housing benefit. This was a fundamental assumption, and neither party assumed the risk of non-payment. An implied term existed that the tenancy would end if housing benefit was not payable. When the council refused to pay, the tenancy determined. Mrs Graves was liable for mesne profits only after notice to quit was served. The judge erred in varying the maintenance order in the possession proceedings without proper evidence or procedure.

Court Disposition

Appeal allowed in part; orders of the lower court set aside; judgment for appellant for mesne profits less deposit balance; maintenance order set aside.

Orders

  • Judgment for Mr Graves for £6,388.50
  • Order varying maintenance set aside