Cases - Consortium Commercial Developments Ltd v ABB Ltd

Record details

Name
Consortium Commercial Developments Ltd v ABB Ltd
Date
[2015]
Citation
EWHC 2128 (TCC)
Legislation
Keywords
Commercial property - dilapidations - disrepair - section 18 - expired lease
Summary

Consortium Commercial Developments Ltd was the landlord of Capella House. ABB Ltd was the tenant under a lease that expired in June 2011. Although the lease expired over 4 years ago, the disrepair and failure to reinstate at lease expiry had not been remedied. While damages for disrepair were capped by section 18, the judge was satisfied that the landlord was likely to undertake works of reinstatement in due course and therefore the appropriate measure of damages for these items was the agreed cost.

The landlord had also claimed for loss of rent and rates during the works period. The High Court held that it was not correct to award rent and rates for the 12 week works period simply because the works would take that long to carry out. The property would have been extremely difficult to re-let in 2011, when the lease expired, and the landlord could not prove that the disrepair had caused it any loss.