Commercial Property Updates from February 2024

When time is of the essence for payment of a deposit

IAA Vehicle Services Ltd v HBC Ltd [2024] EWHC 1 (Ch)

On exercise of options to buy the reversion to three leases, the claimant tenant obtained specific performance despite not having paid the required deposits on the due date. Because the options were contained in leases, the judge considered that time was not of the essence of the obligation.

New Law Society draft Code for signing and exchanging contracts 2024

The Law Society is consulting on a new draft Code, to clarify issues arising from the use of digital technology in conducting transactions.

‘Cynical’ conduct may prevent discharge of restrictive covenant

Fosse Urban Projects Ltd v Whyte and another [2023] UKUT 286 (LC)

The Upper Tribunal has refused to discharge a restrictive covenant in exercise of its discretion, on the basis that the developer cynically and deliberately proceeded with their project in breach of the covenant, without waiting for their application to modify or discharge it to be determined.

Launch of renewed Green Lease Toolkit

The Better Buildings Partnership widely-used Green Lease Toolkit has been relaunched, in a significantly beefed-up version.

Requesting landlord’s consent to alterations

Messenex Property Investment Ltd v Lanark Square Ltd [2024] EWHC 89 (Ch)

The court’s consideration of whether a landlord had unreasonably withheld consent to alterations contains a useful discussion of the requirements for the manner of making an application for consent.

Closure of FTT pilot scheme for lease renewals

It has been announced that the pilot scheme for referring unopposed lease renewals issued in the Central London County Court for determination in the First-tier Tribunal has closed.

Final ‘newcomer’ injunction granted against environmental protesters

Valero Energy and other companies v Persons Unknown and others [2024] EWHC 134 (KB)

The High Court grants a newcomer injunction to restrain trespass, criminal damage and private nuisance committed in environmental protests at petrochemical plants.

Learning Objectives:

To cement learning of new developments in the past month, and/or gain awareness of others that busy practitioners may have missed.