Cases - Joint London Holdings Ltd v Mount Cook Land Ltd

Record details

Name
Joint London Holdings Ltd v Mount Cook Land Ltd
Date
(2005)
Citation
EWCH 507, Ch
Legislation
Keywords
Commercial properties – sub-letting – user covenant– whether sub-letting would be in breach of the user in the Lease
Summary

The claimant in this case wished to sublet premises to Pret a Manger and the court had to decide if the proposed user breached the prohibition in the head lease of 125 years drafted in 1950, under which the claimant held the property.

The court had to apply the principle that the user clause must be interpreted in the way that was envisaged in 1950, at the time of drafting. In particular, did the proposed use contravene the prohibition against use as a victualler or coffee house.

The court decided on the evidence that the sale of hot food for consumption off the premises was not in breach, but consumption on the premises would be a breach of the user covenant.