Ben Cleuch Estates Ltd v Scottish Enterprise [2008] ScotCS CSIH_1 (04 January 2008)

Ben Cleuch Estates Ltd v Scottish Enterprise [2008] ScotCS CSIH_1 (04 January 2008)

The break notice was invalid because it was addressed and sent to Bonnytoun Estates Limited, not to Ben Cleuch Estates Limited, the landlord as required by the lease. No alternative address for Ben Cleuch was properly notified under the lease. The pursuers are not personally barred from denying the validity of the notice.

Citation
[2008] ScotCS CSIH_1
Parties
Pursuers and Respondents: Ben Cleuch Estates Limited; Defenders and Reclaimers: Scottish Enterprise
Jurisdiction
Scotland
Judgment Date
04 January 2008
Procedural Posture
Commercial Action (reclaiming Motion) / Appeal (reclaiming Motion) Against Decree of Declarator
Outcome
Appeal dismissed; decree of declarator affirmed.
Legal Topics
Lease Termination, Break Clause, Notice Requirements, Personal Bar (estoppel)

Case Brief

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Parties

Ben Cleuch Estates Limited

Pursuers and Respondents

Scottish Enterprise

Defenders and Reclaimers

Procedural Posture

Commercial Action (reclaiming Motion) / Appeal (reclaiming Motion) Against Decree of Declarator

  1. 1 Whether the defenders validly exercised the break option to terminate the lease by serving notice as required by the lease
  2. 2 Whether the pursuers are personally barred from denying the validity of the break notice

Ratio Decidendi

The break notice was invalid because it was addressed and sent to Bonnytoun Estates Limited, not to Ben Cleuch Estates Limited, the landlord as required by the lease. No alternative address for Ben Cleuch was properly notified under the lease. The pursuers are not personally barred from denying the validity of the notice.

Court Disposition

Appeal dismissed; decree of declarator affirmed.

Orders

  • Declarator granted that the defenders have not validly terminated the lease by failing to provide written notice to the pursuers as landlords.
  • Declarator granted that the letter from Shepherd and Wedderburn to Bonnytoun Estates Limited of January 2005 is not a valid notice under Clause FOURTH (B) of the lease.