Keith Wall Graham v The Council of the City of Newcastle Upon Tyne
Decision date: 20 January 2010
Neutral citation: [2009] UKUT 281 (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 compensation for a compulsory acquisition of a long lease of a cleared site in Byker and whether value attributable to a foodstore development should be assessed taking account of a wider regeneration scheme. The Tribunal held Case 2 did not apply, found that a wider regeneration joint-venture scheme underlay the acquisition and, applying the statutory disregards, disregarded that scheme and awarded the claimant £79,200 (or £270,600 if the Tribunal were wrong about disregarding the scheme). Costs directions were given.
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 development value arises because of a wider regeneration scheme which induced planning permission and operator demand, that wider scheme can be treated as the "scheme underlying the acquisition" and must be disregarded when assessing compensation under the Land Compensation Act 1961; tribunals should construe the relevant scheme by reference to background events and the purpose of the Pointe Gourde principle.
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 suggests that marketing responses to an outline consent can be persuasive evidence of operator demand (or lack of it) for alternative layouts, and that parties and tribunals should guard against double-counting deductions in valuation where one explanatory factor overlaps another.