NICOLA JANE JOHNSON (VO) v H & B FOODS LTD

Decision date: 10 November 2014

Neutral citation: [2014] UKUT 458 (LC)

Overall AI summary confidence: high

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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 two physically separate buildings used by H & B Foods Ltd (Nos. 32 and 44 Stewarts Road), separated by a public highway, constituted one hereditament and, if so, the correct rateable value. The Tribunal found the buildings formed a single hereditament because their functional interdependence was essential to the business, fixed a basic rate and other valuation elements, and determined a merged rateable value of £282,500 with effect from 1 April 2005. The appeal on the hereditament issue was dismissed; only costs remained to be decided.

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

The Tribunal applied a fact‑and‑degree, common‑sense test: geographical separation (even by a public highway) does not preclude a single hereditament where separate premises are functionally dependent and essential to the business operation given the limitations of the buildings. Identification of a hereditament therefore depends on practical functional connection rather than strict proximity.

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 that the law of hereditaments is inherently obscure and must rely on established authorities and practical assessment rather than rigid formulae. It also notes that size relativities and valuation matrices require appropriate comparable evidence, and absence of similar sized comparables weakens reliance on such matrices.