OBSIDIAN FG LIMITED AND OTHERS v The Secretary of State for Transport
Decision date: 20 August 2010
Neutral citation: [2010] UKUT 299 (LC)
Overall AI summary confidence: medium
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: medium
This case concerned compensation for 21 subsoil interests compulsorily acquired for the London section of the Channel Tunnel Rail Link. The Tribunal awarded a nominal £50 for each freehold and existing leasehold claim where there was no market and no evidence of disturbance, and awarded nil for four "new lease" claims created after service of the notice to treat. No order as to costs was made.
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: medium
Where a subsoil interest has no market other than in compulsory acquisition and there is no evidence of disturbance or diminution of value to retained land, a nominal compensation sum is appropriate; and leasehold interests created after service of a notice to treat do not give rise to compensation in these circumstances.
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 Tribunal noted that taking reasonable procedural steps to notify unrepresented claimants can justify determining valuation on the acquiring authority's evidence where no Statement of Case is filed, and it endorsed use of a standard nominal figure (here £50) as a practical approach to project-wide subsoil acquisitions.