Gray’s Inn Investments Limited v Sally Claire Jolleys
Decision date: 3 January 2024
Neutral citation: [2024] UKUT 2 (LC)
Overall AI summary confidence: high
Short overview
This short overview is intended to summarise the case, issues and outcome so far as they are supported by the judgment.
AI confidence in this short overview: high
This appeal concerned whether an assignee who takes the benefit of a tenant's notice under the Leasehold Reform, Housing and Urban Development Act 1993 can be treated as "the tenant by whom the notice is given" and so be liable for the landlord's reasonable costs. The Upper Tribunal allowed the landlord's appeal, holding that section 43(1) and (2) import assigns into references to "the tenant" so the assignee (Ms Jolleys) can be liable for costs; quantum was remitted to the FTT for assessment.
Ratio decidendi
This summary is intended to identify the ratio decidendi, meaning the legal reasons for deciding and the binding part of the decision.
AI confidence in this ratio decidendi summary: high
Section 43(1) and (2) operate to carry rights and liabilities arising from a tenant's notice onto the tenant's assigns, such that statutory references to "the tenant" in the Chapter include assignees where the context permits; the saving/exception clause is an exception to liability (for certain costs on voluntary sale) rather than requiring an express stipulation in the transfer to make an assignee liable.
Obiter dicta
This summary is intended to identify obiter dicta, meaning observations made by the way that were not necessary to deciding the case and are not binding.
AI confidence in this obiter dicta summary: medium
The judgment observes some uncertainty about exactly which costs the saving/exception covers and cites commentary suggesting it relates to unusual costs that a purchaser could not reasonably be required to pay; it also notes that a contractual indemnity in the deed of assignment was irrelevant to the statutory liability between assignee and landlord.