Car Giant Ltd and another v Mayor and Burgesses of the London Borough of Hammersmith

Landlord and tenant – Damages for failure to repair. The Technology and Construction Court ruled on a claim by which the claimants sought to recover the entire remedial costs (both incurred and not incurred) of £402,887.86, for breaches of repairing covenants, in respect of a property by the defendant local authority, on the basis that the diminution in value was £500,000. The court held that the common law assessment of damages attributable to the breaches of the repairing covenants by the authority was £402,887.86. However, by reason of s 18(1) of the Landlord and Tenant Act 1927, the recoverable damages were limited to £166,000. A further sum of £13,125 was awarded, being the cost of the preparation of the schedules of defects.

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