Court of Appeal victory for Kerdene Limited and Shoosmiths

Court of Appeal victory for Kerdene Limited and Shoosmiths

Published:

Author: Sian Walker

Shoosmiths has helped holiday park owners Kerdene Limited enforce positive covenants against successors in title to the original purchasers of bungalows.

"We're grateful to Shoosmiths' Property Litigation team for dealing with this matter proactively, and for its help in achieving a successful outcome for us."

Leigh Ibbotson

Director, Kerdene Limited

Shoosmiths has helped holiday park owners Kerdene Limited enforce positive covenants against successors in title to the original purchasers of bungalows.

The successful action requires the successors in title to pay Kerdene service charges towards the cost of maintaining the common areas of the holiday village, in Cornwall.

Shoosmiths acted for Kerdene, a prominent and established holiday parks company, in the Court of Appeal case of Alan Wilkinson and others v Kerdene Limited. (View the full case)

The case confirmed an important exception to the general rule that positive covenants do not bind subsequent purchasers of the freehold title unless a fresh covenant is entered into by the purchaser on the transfer of the land.

The successful outcome enables Kerdene to enforce positive covenants against successors in title to the original purchasers of properties within the holiday village, even where fresh covenants have not been entered into on the transfer of those properties, requiring the successors in title to pay service charges towards the cost of maintaining the common areas of the village.

Whilst court proceedings were issued against more than 100 individual property owners, all but eight cases were settled prior to the county court trial through successful mediation and negotiation.

Shoosmiths' core team for this case consisted of Lucy Barry, Associate, Sian Walker, Solicitor and was led by Nicholas Shepherd, Partner.

It was supported by barrister Alan Johns, of Maitland Chambers, who attended the lower court and Court of Appeal trials on behalf of Kerdene.