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Ross River Limited and another V Cambridge City FC [electronic resource]

Language: English Publication details: 2007Subject(s): Online resources: Summary: [2007] EWHC 2115 (Ch), 19 September 2007. Considered whether an agreement for redevelopment could be rescinded owing to a misrepresentation of the value of that development, and an undisclosed payment to an individual with a vested interest. The defendant football club (C) sold the freehold in its ground to the developers (R), under the representation of its Chief Executive (E). R granted C a lease of the ground while arranging redevelopment. C sold its share in the ground overage to R. During negations, C's surveyor requested various information from R's project manager (H) who made representations. At the same time, H arranged a payment to E. C issued a notice against R's registration of the ground, and R instigated proceedings against this. "Held": R had a duty of full disclosure of facts to C by virtue of a mutual good faith agreement. H had not disclosed all the facts to C's surveyor and had therefore misrepresented key aspects of the sale on R's behalf. Due to this, C was entitled to rescind the overage agreement. Sufficient disclosure of the payment to E had not been made. However the original sale of the ground had been conducted before the subsequent issues arose and remained valid. Judgment accordingly.
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Law report Virtual Online ONLINE PUBLICATION (Browse shelf(Opens below)) 1 Available 140947-1001

[2007] EWHC 2115 (Ch), 19 September 2007. Considered whether an agreement for redevelopment could be rescinded owing to a misrepresentation of the value of that development, and an undisclosed payment to an individual with a vested interest. The defendant football club (C) sold the freehold in its ground to the developers (R), under the representation of its Chief Executive (E). R granted C a lease of the ground while arranging redevelopment. C sold its share in the ground overage to R. During negations, C's surveyor requested various information from R's project manager (H) who made representations. At the same time, H arranged a payment to E. C issued a notice against R's registration of the ground, and R instigated proceedings against this. "Held": R had a duty of full disclosure of facts to C by virtue of a mutual good faith agreement. H had not disclosed all the facts to C's surveyor and had therefore misrepresented key aspects of the sale on R's behalf. Due to this, C was entitled to rescind the overage agreement. Sufficient disclosure of the payment to E had not been made. However the original sale of the ground had been conducted before the subsequent issues arose and remained valid. Judgment accordingly.