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Spoiling for a site

By: Series: Estates Gazette ; (0132) 11 August 2001, 84(1)Publication details: 2001Subject(s): Summary: Two recent cases show that developers should proceed with caution if a council is selling land at a bargain price. In "R v Hackney LBC ex p Structadene Ltd", Structadene had the council's contract set aside after the council rejected Structadene's higher bid in favour of the small businesses already on the site: Structadene argued that the council were in breach of their statutory duty to obtain the best price. But in "R (Lidl (UK) GmbH) v Swale BC" the court decided that Lidl's action was a 'spoiling tactic' intended to prevent its rival, Aldi, from acquiring land in an area where Lidl wished to trade.
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Journal article London Journal article ABS64350 (Browse shelf(Opens below)) 1 Available 114353-1001

Two recent cases show that developers should proceed with caution if a council is selling land at a bargain price. In "R v Hackney LBC ex p Structadene Ltd", Structadene had the council's contract set aside after the council rejected Structadene's higher bid in favour of the small businesses already on the site: Structadene argued that the council were in breach of their statutory duty to obtain the best price. But in "R (Lidl (UK) GmbH) v Swale BC" the court decided that Lidl's action was a 'spoiling tactic' intended to prevent its rival, Aldi, from acquiring land in an area where Lidl wished to trade.