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England and Wales Court of Appeal (Civil Division) Decisions |
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You are here: BAILII >> Databases >> England and Wales Court of Appeal (Civil Division) Decisions >> International Traders Ferry Ltd v Adur District Council [2004] EWCA Civ 288 (26 February 2004) URL: http://www.bailii.org/ew/cases/EWCA/Civ/2004/288.html Cite as: [2004] EWCA Civ 288 |
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IN THE COURT OF APPEAL (CIVIL DIVISION)
ON APPEAL FROM THE LANDS TRIBUNAL
Strand London, WC2 |
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B e f o r e :
LORD JUSTICE LATHAM
MR JUSTICE EADY
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INTERNATIONAL TRADERS FERRY LIMITED | Appellant | |
-v- | ||
ADUR DISTRICT COUNCIL | Respondent |
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Smith Bernal Wordwave Limited
190 Fleet Street, London EC4A 2AG
Tel No: 020 7404 1400 Fax No: 020 7831 8838
Official Shorthand Writers to the Court)
MR DAVID HOLGATE QC AND MR CHARLEY MYNORS (instructed by Barlow Lyde & Gilbert, London EC3A 7NJ) appeared on behalf of the Respondent
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Crown Copyright ©
Thursday, 25 February 2004
"The use of the Quays for the docking of ships and the loading and unloading of cargoes and of the open land on the site for the movement of vehicles and for the temporary storage of cargo and materials and the use of any buildings or land in support of all these functions."
The stop notice served under section 183 of the 1990 Act, a draconian step, submits Mr Aylesbury on behalf of ITF, prohibited these operations.
"A person who, when the stop notice is first served, has an interest in or occupies the land to which the notice relates shall be entitled to be compensated by the local planning authority in respect of any loss or damage directly attributable to the prohibition contained in the notice..."
"A claim for compensation under this section shall be made to the local planning authority within the prescribed time and in the prescribed manner".
Under Regulation 12 of the Town and Country Planning (General) Regulations 1992 ("the 1992 Regulations") a claim for compensation under the section must be in writing and must be served on the authority by delivery or by post within 12 months of the date of the decision in respect of which the claim is made or such longer period as the Secretary of State may allow.
"(a) whether or not the claimant is a person entitled by section 186(2) of the 1990 Act to be compensated in respect of the stop notice issued by the authority on 1 February 1995 relating to land and property known as the Brighton B Power Station Site at Shoreham-by-Sea, West Sussex;
(b) whether or not the letter of 25 February 1998 to the authority from the solicitors acting for the claimant constituted a claim for the purposes of regulation 12 of the 1992 Regulations and section 186 of the 1990 Act."
It was found by the Tribunal that the vessel used by ITF tied up at the quayside adjacent to the turning basin, was stern loaded there and that the transhipment of the cargo took place through the land to the west of the turning basin. It was found that on one occasion in March 1995, ITF's chartered vessel was displaced from its berth on the inner lay-by because SPA had told them that the berth was required for another vessel. The harbour master gave instructions that the vessel should be moored at a different wharf. It was found that ITF stored furniture and other office equipment in the Howarth shed, and used it as an office. ITF had erected security fencing at the site and it was in place on the relevant date.
"(i) to discharge and load vessels at the Wharves which are owned or under the control of the Port Authority and to make use of Transit Areas adjacent to those Wharves for the temporary storage of goods in transit;
(ii) to make use of the Transit Sheds owned or under the control of the Port Authority for the sorting and examination of goods in transit discharged or loaded at the adjacent Wharves;
(iii) to use the Port roads on foot and by vehicle for and in connection with the foregoing purposes."
"1. Vessels will be berthed at the Port Authority's Wharves only as directed by the Harbour Master.
2. Space in the Port Authority's Transit Sheds and Transit Areas will be subject to control by the Harbour Master.
3. The licensee undertakes:-
(a) to pay whatever fees, rates, rents and charges may be authorised by the Port Authority from time to time for the use of the Wharves Transit Areas or Transit Sheds.
(b) to observe the conditions from time to time stipulated by the Port Authority for the use of the Wharves, Transit Areas, Port roads and Transit Sheds...
(g) to comply with the Port Authority's Byelaws in force from time to time, with all directions made by the Harbour Master acting thereunder or in accordance with his statutory powers and with all regulations made by the Port Authority with respect to Port roads.
(h) to remove goods from the Wharves, Transit Areas and Transit Sheds if directed to do so by the Harbour Master;
(i) to obtain the Port Authority's consent to the type of handling equipment to be used on the Wharves and Transit Sheds and to comply with any instructions of the Harbour Master in respect of the use of such equipment.
5. The Port Authority reserves the right to remove and store elsewhere any goods placed on its Wharves and Transit Areas or in the Transit Sheds should the Licensee fail to do so within a reasonable time of notice being given by the Harbour Master and to recover the cost of such removal and storage from the Licensee."
The Port Authority also reserved the right to determine the licence:
"(i) forthwith if the Licensee fails to comply with any of the above conditions; (ii) after three months' notice at any time."
"It is hereby agreed and declared that this Licence confers no right to exclusive possession upon the Licensee and accordingly that the licensor retains the right to enter upon the premises at any time and in any manner and for any purpose, and to relocate the Licensee to other premises within the port area or failing this to terminate this Licence."
"A person who has an interest in part of a piece of land can properly be said to have an interest in that land; and the same goes for occupation."
There is no appeal against that finding.
"... conferred no interest in land, nor did it give any right to use any particular part or parts of the port. Both berthing and the use of the transit sheds and transit areas were subject to the direction and control of the Harbour Master, who was able to direct where vessels were to be berthed and what wharves etc were to be used and to require the removal of goods from the wharves etc."
It was also held that the second licence did not confer an interest in the land. Reference was made to its terms, and it was also found that the nature of the first licence "colours the second licence and provides confirmation that it was not intended to confer any interest in land":
"It is clear, in my judgment, that this second licence conferred on the licensee no interest in land. Quite apart from the stated intention of the parties, which would not necessarily be conclusive, the terms of clause 6 in particular show that the licensee gained no exclusive right to possession and could be relocated by the licensor at any time. It is also right, in my view, to bear in mind the circumstances in which the licence was granted. ITF Ltd evidently required the use of office space in connection with its use of the port for the export of livestock. The building it was licensed to use was, adjacent to the wharf and the transit area that it used for this purpose, and it ceased to use the building (apart from not removing its possessions from it) not long after the export of livestock from the wharf came to an end. The nature of the first licence, which I have referred to above, and the use of the port facilities for which it provided, in my view colours the second licence and provides confirmation that it was not intended to confer any interest in land."
"What amounts to occupation is likely to depend upon the nature of the use, but in all cases, in my judgment, the occupation must have a sufficient degree of permanence and must be exclusive (or paramount where there are two potential occupiers)."
It was held that the test fell to be applied in the light of any contractual terms or other limitations that condition the nature of the occupation.
"As I have said above, the first licence granted ITF Ltd no rights in respect of any particular part of the land or of the port. It was a matter for the harbour master to direct which part of the port should be used. He could require ITF Ltd to move elsewhere at a moment's notice, just as he could (and did) direct where ships should berth. ITF Ltd's use of the land was just one of a number of such uses. The storage and shipment of granite setts and baled waste paper were other similar uses of parts of the B Station site. That ITF Ltd was evidently permitted to erect security fencing around the area allotted to it does not seem to me inconsistent with a high degree of control exercised by the harbour master over the use of the port."
"Therefore I approach section 164 on the basis that it is a section designed to compensate those who have incurred expenditure in reliance upon a permitted use only to find that they now face loss because the planning authority has revoked the permission. The subject matter of the compensation is not the compulsory acquisition of land, but the restriction upon use. Clearly some limit has to be placed upon the right to claim compensation because many a person may be affected by a change in the permitted use of land while not themselves being directly concerned to make any use of it. In the present case, for example, an omnibus company might have planned to lay on transport facilities to and from the airfield. In my opinion this section envisages as deserving of compensation a person who has a right in relation to the land, which right is adversely affected by the restriction on use."
At page 389G Eveleigh LJ stated:
"The Act refers to an 'interest in land' in other sections and to my mind the change to the less technical language of 'interested in the land' in section 164 is deliberate. I cannot see that it was dictated by the desire to achieve economy of language, for the saving between 'a person interested in the land' and 'a person with an interest in the land' is minimal.
I therefore feel free to interpret the
phrase without regard to technical terms. In the context of the Act, and section 164 in particular, a person who, like the appellants, has an enforceable right as against the owner to use the land in the way which has now been prohibited is 'a person interested in the land' within section 164."
That is the basis on which Eveleigh LJ decided the case. Kerr LJ agreed, stating at page 394G:
"It seems to me that, in construing the words 'a person interested in the land' in a provision dealing with compensation, one is entitled to say that if the draftsman had intended to section 164(1) should only apply to persons who have an interest in land, and if the draftsman had also intended that the latter expression should bear its narrow technical meaning wherever it appears in the Act, then he would have been most unlikely to use the more general words 'a person interested in the land' in section 164(1)."
"Although I have reached my conclusion upon the basis that I do not have to regard section 164 as requiring the claimant to establish that he is a person with an interest in the land, I would nonetheless have come to the conclusion that the appellants were entitled to compensation even if the words in section 164 had been 'a person with an interest in the land'."
The Eveleigh LJ referred to the Privy Council decision in Plimmer v Wellington Corporation (1884) 9 AC 699, where an occupier of land with a reasonable expectation that his occupation would not be disturbed was held to have an interest in land for the purposes of a compensation statute when he had incurred expense at the request of the Government, the owners of the land. Giving the judgment of the Board, Sir Arthur Hobhouse stated, at page 713:
"... the equity arising from expenditure on land need not fail merely on the ground that the interest to be secured has not been expressly indicated."
Eveleigh LJ saw no distinction between Plimmer and Pennine, where the licensee had also spent substantial sums on clearing land, erecting safety fencing, laying a tarmacadam surface on a substantial area and creating a bank for spectators. Agreeing in the result, Stephenson LJ stated at page 395G:
"Differing, I fear, from Eveleigh and Kerr LJJ in this respect with due diffidence, I cannot see any difference between a person who has an interest in the land, a person entitled to an interest in it and 'a person interested in the land', and I regard the last expression as shorthand for the others or synonymous with them."
Stevens v Bromley London Borough Council [1972] 1 Ch 400, a case to which I will refer in more detail on the second limb of ITF's case, was not cited in Pennine. Dealing with provisions in the Town and Country Planning Act 1962 ("the 1962 Act") providing for the service of enforcement notices, Salmon LJ stated at page 410A:
"I agree that the interest referred to in section 45(3)(b) [cited at paragraph 31 below] is confined to a legal or equitable interest and does not include an interest in the loose or colloquial sense of someone being interested in the land."
Stamp LJ, who dissented on the issue as to occupation, stated at page 417 that the caravan dwellers had no legal or equitable interest in the land itself or any part of it. Edmund Davies LJ did not refer to the question of "interest". Pennine is distinguishable because the decision was based on the word "interested" and not the word "interest", which now appears in section 186(2). Moreover, it is distinguishable on the basis that the licence is quite different and in that no reliance is placed in the present case on the expenditure of substantial sums of money to create an interest; no attempt is made to make such a case.
"The word 'occupy' is a word of uncertain meaning. Sometimes it denotes legal possession in the technical sense, ... At other times 'occupation' denotes nothing more than physical presence in a place for a substantial period of time, ... Its precise meaning in any particular statute ... must depend on the purpose for which, and the context in which, it is used."
It is common ground that a contractual licensee on land may be, but is not necessarily, an occupier under section 186(2).
"Upon payment of the rates made payable by this and the special Act, and subject to the other provisions thereof, the harbour, dock, and pier shall be open to all persons for the shipping and unshipping of goods, and the embarking and landing of passengers."
"A stop notice may be served by the local planning authority on any person who appears to them to have an interest in the land or to be engaged in any activity prohibited by the notice."
As already indicated, section 186(2) limits the entitlement to compensation to persons having an interest in or occupying the land to which the notice relates. It is easy to see why the broader terminology is necessary in section 183 to achieve the purpose of that section. However, there is force in the point that the broad expression persons "engaged in any activity" is not repeated in section 186(2) where the more limited expression "occupier" has been adopted. Thus, "engaged in an activity" can be taken to be something other than occupation.
"The Town and Country Planning legislation makes anyone who fails to comply with the requirements of an enforcement notice guilty of a criminal offence. Compliance with such a notice may also, in some cases (as I shall show) involve abandoning home and business. The legislation, however, clearly intended to afford a measure of protection to an occupier by ensuring that he should be given adequate warning of the enforcement notice and the opportunity of appealing against it before he could be convicted of a failure to comply with it. I can find no ground for supposing that the legislature intended to deny that protection to anyone in Mr Wicks' position [he was one of the caravan dwellers] by excluding him from the category of occupier. His occupation of his caravan and the plot upon which it stood was far from transient; they were his permanent home. His occupation was exclusive. Even if the plaintiff had some measure of occupation in relation to the unit, Mr Wicks' occupation was clearly paramount. These, in my view, are all factors to be taken into account in deciding whether or not a licensee is an 'occupier' within the meaning of that word in section 45(3)(a). In each case it is a question of fact and degree. There may well be many cases in which it is difficult to decide on which side of the line it falls. On the present facts I have no doubt but that Mr Wicks is well on the right side of the line."
Salmon LJ had prefaced those remarks by a statement at page 410F:
"On the facts of this case which I have recited at the beginning of this judgment, it would, in my view be an affront to common sense no less than to ordinary justice to hold that Mr Wicks was not occupying the plot of land upon which his caravan stood."
Edmund Davies LJ stated at page 413H.
"For my part, I am prepared to apply the two tests of (a) degree of control and (b) duration..."
Edmund Davies LJ added at page 415:
"I am prepared to adopt it [the test he had set out] as one amply warranted by the facts of the case, including the physical lay-out, duration of sojourn on the site, the contractual terms existing between the plaintiff and his caravanners, and all those other features to which Salmon LJ has already referred."
"Every natural or legal person is entitled to the peaceful enjoyment of his possessions. No one shall be deprived of his possessions except in the public interest and subject to the conditions provided for by law and by the general principles of international law.
The preceding permission shall not, however, in any way impair the right of a State to enforce such laws as it deems necessary to control the use of property in accordance with the general interest or to secure the payment of taxes or other contributions or penalties."
I see no obvious link between the right provided in Article 1 and the construction of the words "interest" and "occupy" in the 1990 Act. This is not a case where a Convention right can be transposed directly into the construction of a United Kingdom statute. A domestic system of law is entitled, subject to the Convention, to have a method of deciding what categories of persons achieve a status which entitles them to compensation in circumstances such as the present. In my view, the approach which has been adopted in the authorities, and which I have sought to adopt, to the words "interest" and "occupy" is not directly or obviously affected by the existence of Article 1.
"In the light of the decision of the Secretary of State dated 28th January 1998 we write to give you notice that it is the intention of our client company to claim compensation from your authority under section 186 of the Town and Country Planning Act 1990. Full details of the claim will be served on you in due course.
We also give you notice that we would wish to be served with notice of appeal under section 289 of the Town and Country Planning Act 1990 which your authority has made or intends to make.
We must place on record that as a matter of law we do not agree with the Secretary of State's decision on the question of our client's locus standi."
Mr Holgate makes two points about the letter. First, that the letter expresses not a claim for compensation, but an intention to make such a claim in the future; second, the statutory requirement is that the document should indicate the nature of the claim - that is, the main heads and quantum.
(Appeal dismissed; cross-appeal dismissed; the Respondents are to receive 90 per cent of their costs; application for leave to appeal to the House of Lords refused).