Recently, a dispute regarding a property owner’s right to light has been unexpectedly dealt with by granting an injunction against a developer. It is more usual for the court to rule that compensation is payable.
Associate and Head of Litigation at Frettens Solicitors, Michelle Hayter, handles disputes of all kinds, including disagreements over property. Regarding this type of dispute concerning light and property, Michelle outlines the principles that normally apply in assessing the damages payable. They would be:
- fair – an amount that would be likely to be agreed following negotiations between the interested parties;
- appropriate, considering the context of the breach and its nature;
- made with the awareness of the strength of the bargaining position that is created by the right to claim injunctive relief. This would prevent or limit a development and the profit that might then accrue to the person able to claim the injunctive relief;
- based on a fair percentage of the anticipated size of the profit. However, if the profit is not known, the appropriate measure is a suitable multiple based on the loss of amenity;
- not so large that the development would not have gone ahead had it been payable; and
- fitting in the circumstances, after taking into consideration all other relevant factors.