Feargal Brennan v St Paul's Court Limited
Decision date: 11 November 2010
Neutral citation: [2010] UKUT 403 (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 s.20B Landlord and Tenant Act 1985 bars recovery of costs reallocated to tenants more than 18 months after the works where tenants had paid interim sums on account. The Upper Tribunal held s.20B is engaged only where a "demand for payment" is served in respect of costs incurred over 18 months earlier, and that an accountant's certificate or prior interim payments do not themselves constitute such a demand. The tribunal therefore rejected the s.20B challenge and left the LVT's factual findings and reallocation directions in place.
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 20B(1) is triggered by a demand for payment served after the 18‑month period; retrospective accounting adjustments or reallocation of costs where tenants have paid on account and no further demand is made do not fall within s.20B. An independent accountant's certificate preparing a final account does not, of itself, amount to a "demand for payment" under s.20B.
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 (by way of statutory purpose/observation) that s.20B aims to protect tenants from unexpected historic charges without prior warning, but that the statutory wording confines that protection to situations following a demand; it also notes the practical concern that landlords could preserve on‑account balances to avoid s.20B, without allowing that concern to alter the statutory interpretation.