Prow & Ors v Argyll and Bute Council [2013] ScotCS CSIH_23 (19 February 2013)

Prow & Ors v Argyll and Bute Council [2013] ScotCS CSIH_23 (19 February 2013)

The second letter constituted a valid rent review notice under Clause 25(c) of the lease, as it complied with all fundamental requirements and satisfied the reasonable recipient test. The earlier, invalid notice was superseded, and there was no scope for confusion for the reasonable recipient applying common sense.

Citation
[2013] ScotCS CSIH_23
Parties
Pursuers and Respondents: R M Prow (Motors) Limited Directors Pension Fund Trustees; Defenders and Reclaimers: Argyll & Bute Council
Jurisdiction
Scotland
Judgment Date
19 February 2013
Procedural Posture
Commercial Action (rent Review Dispute) / Reclaiming Motion (appeal) in the Inner House, Court of Session
Outcome
Reclaiming motion refused
Legal Topics
Rent Review Notices, Interpretation of Contractual Notices, Reasonable Recipient Test, Lease Construction

Case Brief

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Parties

R M Prow (Motors) Limited Directors Pension Fund Trustees

Pursuers and Respondents

Argyll & Bute Council

Defenders and Reclaimers

Procedural Posture

Commercial Action (rent Review Dispute) / Reclaiming Motion (appeal) in the Inner House, Court of Session

  1. 1 Whether the second rent review notice was valid under the lease
  2. 2 Whether the existence of two notices caused confusion for the reasonable recipient
  3. 3 Whether the requirements of Clause 25 of the lease were satisfied

Ratio Decidendi

The second letter constituted a valid rent review notice under Clause 25(c) of the lease, as it complied with all fundamental requirements and satisfied the reasonable recipient test. The earlier, invalid notice was superseded, and there was no scope for confusion for the reasonable recipient applying common sense.

Court Disposition

Reclaiming motion refused

Orders

  • The second rent review notice is valid and effective under the lease
  • Defenders are obliged to pay the rent specified in the valid notice as no counter notice was served within the required period