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Brabners Chaffe Street involved ingroundbreaking case
8/02/2007

Brabners Chaffe Street has been involved in a groundbreaking case in the Court of Appeal. Commentators believe that the case, which centred on repairs to a Manchester carpet shop, has created uncertainty for both commercial landlords and tenants.

The Court of Appeal ruled that the building's owners should be paid for the work, even though they failed to produce evidence as to the costs of remedying the dilapidations.

The case - Latimer v Carney & Others - had previously been dismissed by a Judge sitting at Salford County Court on the grounds that the landlords had only relied on builders' estimates.

The tenants argued that the landlords had not produced evidence to support their claims that the actual value of their interest had been reduced, as the property had been converted into a restaurant by the time the case was brought.

Lady Justice Arden decided that the estimates were enough and awarded the landlords £4,100, having applied a 60 per cent reduction for the 'uncertainty' caused by the gap in evidence.

Jeff Lewis, a litigation partner at Brabners Chaffe Street, which represented one of the tenants, suggested the ruling had significant potential ramifications. "Although it places landlords in a better position in the sense that they might now be said to have a 'second chance' if their evidence is not up to scratch, the uncertainty created by this case may make it more difficult for them to accurately assess the true value of their claim.

"It also places tenants in a far more uncertain position because it gives landlords greater room for manoeuvre. Until now, landlords would have failed in dilapidation claims if they failed to produce clear evidence of the diminution in value caused to their interest by tenants."


The case featured a claim that the condition of the carpet shop had deteriorated while Mr Lewis's client had the lease.

After the lease in question had expired, the landlord, James Latimer, carried out the repairs as part of a larger refurbishment while converting the shop into a restaurant for a later tenant.

Mr Lewis added that the Court of Appeal's decision could radically change how such cases are treated.

"This ruling introduces an element of uncertainty into claims for dilapidations."


For further information contact Jeff Lewis at Brabners Chaffe Street on 0161 836 8800

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