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England and Wales Lands Tribunal |
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You are here: BAILII >> Databases >> England and Wales Lands Tribunal >> BP Oil UK Ltd v Kent County Council [2002] EWLands ACQ_12_2002 (28 June 2002) URL: http://www.bailii.org/ew/cases/EWLands/2002/ACQ_12_2002.html Cite as: [2002] EWLands ACQ_12_2002 |
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[2002] EWLands ACQ_12_2002 (28 June 2002)
ACQ/12/2002
LANDS TRIBUNAL ACT 1949
COMPENSATION – limitation – authority entering onto part only of land more than 6 years before reference – subsequent agreement less than 6 years before reference relating primarily to accommodation works – relevant date of entry for purposes of limitation held claim statute-barred
IN THE MATTER of a NOTICE OF REFERENCE
BETWEEN B P OIL UK LIMITED Claimant
and
KENT COUNTY COUNCIL Acquiring
Authority
Re: Kent County Council
A299 Thanet Way Dualling
(Whitstable to Herne Bay)
Compulsory Purchase Order 1992
Plot 92 - BP Oil (UK) Ltd
Before: The President
Sitting at 48/49 Chancery Lane, London WC2A 1JR
on 20 and 21 May 2002
The following cases are referred to in this decision:
Chilton v Telford Development Corporation (1986) 281 EG 1443
Hillingdon LBC v ARC Limited [1999] Ch 139
Friendly Bar Limited v Glasgow Corporation [1975] SLT 18
Buckinghamshire CC v Moran [1990] Ch 623.
The following further cases were cited in argument:
Llanelec Precision Engineering Co Ltd v Neath Port Talbot County Borough Council (2001) RVR 36
Courage Ltd v Kingswood District Council [1978] 35 P & CR 436
Marchment v Hampshire County Council (1979) 43 P & CR 431
Firstpost Homes Ltd v Johnson [1995] 1 WLR 1567
Burson v Wantage RDC (1974) 27 P & CR 556
Birmingham Corporation v West Midlands Baptist (Trust) Associated Inc [1970] AC 874
Pandit v Leicester CC (1989) 58 P & CR 305
Bank of Australasia v Palmer [1987] AC 540
Coburn v Colledge [1897] 1 QB 702
Agromet Motoimport Ltd v Maulden Engineering Co (Beds) Ltd [1985] 1 WLR 762
Williams v Greatrex [1957] 1 WLR 31
Hiilingdon LBC v ARC Ltd (No 2) (2000) 3 EGLR 97
Nicholas Nardecchia instructed by Morgan Cole for the claimant
Andrew Tait instructed by Geoffrey Wild, County Secretary, Kent County Council, for the acquiring authority
DECISION ON A PRELIMINARY ISSUE
"This agreement is between Kent County Council (KCC) and BP Oil UK Ltd (Freeholders) for sale of land by the latter and its purchase by the County Council for the purposes of the A299 Dualling Scheme (Whitstable to Herne Bay Section) for which the Council has received planning permission and has made Compulsory purchase and Side Roads Orders. The Orders were confirmed by the Secretary of State for Transport on 28 September 1994 and Notice to Treat and Notice of Entry have been served by the County Council.
KCC accepts that due to the construction of the dualled roads, the Links Service Station will not be able to trade effectively unless the access and forecourt layout is amended and works of re-organisation and reinstatement are carried out within the boundaries of the existing property."
"(1) BP Oil has prepared an agreed scheme and secured the necessary consents for re-organised facilities as shown on Drawings Nos LSS/2/D, LSS/3, LSS/10/A, LSS/20/B, LSS/30 and WD1 0852 and a contract for these works will be let to Dakin Service Station Contractors (the Contractors).
(2) KCC will transfer the freehold interest of the land coloured green on Drawing No. LSS40 to BP Oil UK Ltd to enable a revised access road to be constructed and will grant early possession of the land to the freeholders for this purpose.
(3) Upon KCC proceeding with the A299 Dualling Scheme the freeholders will:
(a) Yield up possession of the land shown coloured pink on Drawing No.7052/207 (which is required by the Council for incorporation into the highway) to permit construction of the new accesses to the re-organised facilities.
(b) Transfer the freehold estate in the land shown coloured pink to KCC with the benefit of vacant possession.
(4) KCC to pay to the freeholders by way of consideration for the loss of the land compensation to be agreed by assessed in accordance with the statutory Compulsory Purchase Code ie value of land taken, severance/injurious affection and disturbance (including temporary loss of profits if any) the cost of carrying out accommodation works together with legal costs in deducing title and making the conveyance of surveyors fees calculated in accordance with Ryde's Scale (1991).
The liability of the Council under this Clause shall expressly include payment of the sums quoted in a priced Bill of Quantities dated November 1995 (and attached to these Heads of Agreement) in respect of those items listed under the headings of "preliminaries", "landscaping" and "external works" together with such of the "prime costs, provisional sums and contingencies" as are actually incurred by the freeholders.
The Council shall additionally pay any sums which are not referred to in the Bill of Quantities but which are reasonably and necessarily incurred in carrying out and completing the works.
The specification and estimated costs of any such works to be agreed in advance between Kent County Council and the Freeholders.
The procedure shall be as follows:
(a) The Contract will be awarded by BP to Dakin Service Station Contractors.
(b) The supervision of the proposed works and instructions to the Contractor will be the responsibility of BP and their agents.
(c) Measurements of the completed works will be carried out and agreed between BP representatives, the Contractor and the County Council's Project Manager. A member of the Project Manager's team will be representing Kent County Council for the purpose of measurements and agreement of the completed items of works.
(d) The County Council will monitor the Contractor's progress of works and will keep records of all works as well as any potential problems which may or may not lead to any claims by the Contractor. However, the County Council shall be bound by and give effect to every instruction or decision of BP on this Contract.
(e) Upon the submission of interim and final accounts certified by the freeholders Architects or other supervising officer, the County Council shall pay the Contractor such sums as are set out in the Bill of Quantities attached hereto.
(f) The County Council shall pay the reasonable fees of any architects, engineers or consultants incurred in the preparation of and implementation of the works.
(5) In the event of the parties failing to agree on the compensation to be paid the matter to be determined by the Lands Tribunal."
"You provided us with an amended drawing, number 7052/684 which shows a revised area of land coloured pink. Our clients are prepared to dispose of this land to your Council and for the compulsory purchase to proceed on the basis that this area of land replaces the previous parcel for which compulsory powers exist.
Our clients also prepared to dispose of the additional area of land coloured green on the plan. This land together with the land coloured blue, which is already in your Council's ownership, is required to form part of the new highway and access to our clients' property. Our clients' agreement to dispose of this land to your Council is subject to the following provisions:-
(1) That BP Oil (UK) Ltd will be granted rights in perpetuity to have access over the land and rights for services to pass through the land.
(2) That BP Oil (UK) Ltd will have rights in perpetuity to erect signs on the land. The erection of any signs would, of course, be subject to the usual planning and highways regulations.
(3) That the rights referred to above in paragraphs numbers 1 and 2 may be transferred to a third party in the event that BP Oil (UK) Ltd dispose of their interest in the property.
This agreement is also subject to the land coloured blue (Plot 111) forming part of the public highway and remaining, in perpetuity, an access and visibility display to our clients' property.
The terms set out in this letter are on the basis that the disposal to your Council would be on the statutory Compulsory Purchase Basis.
Would you please confirm your agreement, in principle, to these terms."
"I am grateful for your confirmation that your client is prepared to proceed on the basis of the revised drawing and sell the additional areas to the County Council by agreement. I can confirm that for the purposes of our negotiations the acquisition of these additional areas will be treated as if it were compulsory and compensation determined on the same basis.
Your agreement to permit the County Council to retain ownership of Plot 111 (the blue land) is also noted. This land and the Green Land will become part of the publicly maintainable highway. The conditions numbered 1, 2, 3 in your letter are acceptable to the County Council and will be incorporated in the Transfer documents."
"I understand that there is an urgent requirement for KCC's contractors to remove a sign but your clients are reluctant to permit entry for this purpose even though notice of entry had been served."
Thus, it was suggested, KCC were not asserting that they had already entered. Mr Frost said that it would have been clear at the on site meeting on 17 October 1995 that works were already being carried out on part of the site. Mr Nardecchia also asked Mr Frost about a letter of 14 November 1995, under his reference, to Mr Jarvard, in which it was said that:
"…up to 26 November 1995 the only work to affect the BP site are the installation of a duct across the eastern access and the removal of the top soil on the verge between the two accesses."
Mr Frost said that the statement was indeed correct in relation to the petrol filling station itself but not to Plot 92 as whole.
"Roadworks at Links has commenced. There is a lot clearance work on the opposite side of the main road with all the contractors lorries and cranes. Access to the Service Station is now quite restricted although its still open, the whole area of land in front has now been fenced off.
The triangle of land contains a hedge about 8 ft high and a small area of landscaped ground beyond just by the corner of the nursery building, this land will be for turning and sight line and there is no land between that and BP's land.
The road construction has already started immediately to the east of the Petrol Station and access into the working area is directly off BP's eastern slip road. This is causing a lot of mud and inconvenience and blockage of access into this entrance road.
The contractors have put a 'no exit' sign at this point for petrol station customers so they have to use the single access at the western end.
Along the working strip the land has been levelled, the foundations are going in and a new metal post and chain link fence has gone up to mark the new boundary of the BP land. About half way along its length the boundary is pushed back to form a square area about 20 feet by 20 feet which looks as though it is being used on a temporary basis by the contractors for storage purposes. Check this out as it may be contrary to the original plans and should be compensated."
"If the acquiring authority have served notice to treat in respect of any of the land and have served on the owner, lessee and occupier of that land not less than 14 days notice, the acquiring authority may enter on and take possession of that land, or such part of that land as is specified in the notice; and then any compensation agreed or awarded for the land of which possession is taken shall carry interest at the rate prescribed under section 32 of the Land Compensation Act 1961, from the time of such entry until compensation is paid, or is paid into court in accordance with this Act."
"is that its statutory right to compensation is retained but in a form which is modified altered and extended by the terms of the agreement for the sale of its land. The claim therefore arises from the agreement as do the rights of the parties."
I cannot see how the contention in the second sentence follows from the first sentence. If the statutory right to compensation is retained but in a form that is modified by the agreement, the right to compensation necessarily, it seems to me, arises under the statute.
Dated 28 June 2002
George Bartlett QC, President
ADDENDUM ON COSTS
Dated 23 July 2002
George Bartlett QC, President