MDM Civil Engineering Limited v Scott Morgan
Decision date: 10 September 2026
Neutral citation: [2026] UKUT 347 (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
MDM Civil Engineering applied to vary a 2019 restrictive covenant limiting development to two dwellings on the "Ark" site so as to permit a third dwelling. The Tribunal held that s.84(1)(aa) and (c) were made out: the covenant impeded a reasonable use and secured no practical benefit of substantial value to the beneficiary, and modification would not injure the beneficiary; it exercised its discretion to allow the third dwelling in accordance with planning permission 25/0163/FUL on payment of £37,500 to the beneficiary within three months.
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
The decision applies s.84(1)(aa) to permit modification where a covenant impedes a reasonable use of the land and, on the available evidence, secures no practical benefit of substantial value to the beneficiary; and applies s.84(1)(c) on the basis that loss of a bargaining opportunity to demand a price for release does not, by itself, amount to "injury" for the purposes of that ground.
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 commented that the recent origin of a covenant and the applicant's close connection to the original covenantor are relevant discretionary factors weighing against modification but do not automatically preclude it; it also suggested that unsworn letters and untested statements from a beneficiary carry limited weight.