MICHAEL CROSS AND OTHERS v. ABERDEEN PROPERTY LEASING [2014] ScotSC 8 (18 February 2014)

MICHAEL CROSS AND OTHERS v. ABERDEEN PROPERTY LEASING [2014] ScotSC 8 (18 February 2014)

The administration fee imposed by the defender was a pecuniary consideration in addition to the rent and thus constituted a prohibited premium under section 90 of the Rent (Scotland) Act 1984, even prior to its amendment. The pursuers are entitled to return of the fee.

Citation
[2014] ScotSC 8
Parties
Pursuer: Michael Cross; Pursuer: Callum Archibald; Pursuer: Gary Marshall; Defender: Aberdeen Property Leasing
Jurisdiction
Scotland
Judgment Date
18 February 2014
Procedural Posture
Small Claim / Judgment After Proof
Outcome
decree for pursuers
Legal Topics
Premiums in Residential Leases, Administration Fees, Statutory Interpretation

Case Brief

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Parties

Michael Cross

Pursuer

Callum Archibald

Pursuer

Gary Marshall

Pursuer

Aberdeen Property Leasing

Defender

Procedural Posture

Small Claim / Judgment After Proof

  1. 1 Whether the administration fee charged by the defender constituted an illegal premium under the Rent (Scotland) Act 1984 as amended
  2. 2 Whether the administration fee was reasonable and permitted under the law at the time

Ratio Decidendi

The administration fee imposed by the defender was a pecuniary consideration in addition to the rent and thus constituted a prohibited premium under section 90 of the Rent (Scotland) Act 1984, even prior to its amendment. The pursuers are entitled to return of the fee.

Court Disposition

decree for pursuers

Orders

  • Defender to return administration fee to pursuers
  • Interest to run from date of citation