Ridgewood Properties Group Ltd v Valero Energy Ltd

Subject Matter

VENDOR AND PURCHASER — Vendor’s covenant — Enforceability — Parties entering into agreements in three phases for development of properties owned by defendant — Agreements granting claimants either building lease conditional on obtaining planning permission or options to take building leases — Defendant transferring its interest in properties to third parties — Claimants alleging transfer constituting repudiatory breach of agreements — Whether agreement granting option to take lease or agreement for grant of lease subject to condition precedent “agreement for a tenancy” — Whether statute operating to pass burden of covenants in agreements to third parties — Whether defendant able to procure compliance by third parties pursuant to covenants in agreements transferring properties to third parties — Whether defendant putting it out of its power to perform agreements with claimant — Landlord and Tenant (Covenants) Act 1995, s 28(1)

[2013] Ch 525; [2013] 3 WLR 327