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England and Wales: Upper Tribunal (Lands Chamber) refuses s.84 LPA 1925 relief despite jurisdiction; deliberate breach decisive in Fosse Urban Projects v Whyte; 'build first, apply later' warning

Published on: 02 February 2024

Published by a LexisNexis Property expert
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Fosse Urban Projects Ltd v Whyte and another [2023] UKUT 286 (LC)

A recent Upper Tribunal ruling in Fosse Urban Projects Ltd v Whyte and another warns developers to resolve restrictive covenants before breaking ground. The outcome signals a shift from a well-known earlier case and shows the Tribunal is unlikely to use its discretion to lift or alter a covenant to endorse a scheme where a developer has intentionally and knowingly breached it purely for commercial motives...

Background

Fosse Urban Projects Ltd (the developer) secured planning permission in July 2021 to construct a dwelling on land burdened by a covenant limiting its use to “garden land” serving an “adjoining property”. The developer later applied to the Upper Tribunal in October 2022 under section 84(1) of the Law of Property Act 1925, which empowers the Tribunal, in defined circumstances, to discharge or modify restrictions affecting freehold land. By the time of the hearing in September 2023, however, the developer had already proceeded and completed the build...

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