Source: All England Reporter
Publisher Citation: [2010] All ER (D) 205 (Jul)
Neutral Citation: [2010] EWCA Civ 801
Court: Court of Appeal, Civil Division
Judge:

Carnwath, Moore-Bick and Wilson LJJ
Representation Jane Evans-Gordon (instructed by Tarbox Robinson & Partners) for the claimant.
  Mark Loveday (instructed by Romain Coleman) for the defendant.
Judgment Dates: 20 July 2010

Catchwords

Contract - Sale of land - Rescission of contract - Claimant purchaser contracting with defendant vendor to purchase property - Leasehold interest previously granted in respect of property - Bankruptcy order made against tenant and entered against leasehold title - Tenant purporting to surrender lease - Sale of property not completing - Claimant seeking to rescind contract of sale - Claimant seeking return of deposit and summary judgment - Whether condition in contract of sale preventing claimant relying on continued existence of lease as ground for recession - Whether existence of lease should be treated as technical conveyancing defect.

The Case

Contract Sale of land. The Court of Appeal, Civil Division, found that the judge had been correct in concluding that the presence of a subsisting lease encumbering freehold property sold with vacant possession could not be treated as a technical conveyancing defect, and that a condition of the lease did not prevent the purchaser relying on the continued existence of the lease as a ground for rescission.

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