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Court of Appeal rules on meaning of ‘actual sales revenue received’ for purpose of calculating s 106 contributions (Morris Homes v Cheshire West and Chester Council)

Court of Appeal rules on meaning of ‘actual sales revenue received’ for purpose of calculating s 106 contributions (Morris Homes v Cheshire West and Chester Council)
Published on: 17 November 2020
Published by: LexisPSL
  • Court of Appeal rules on meaning of ‘actual sales revenue received’ for purpose of calculating s 106 contributions (Morris Homes v Cheshire West and Chester Council)
  • What are the practical implications of this case?
  • What was the background?
  • Legislative background
  • Factual background
  • What did the court find?
  • Ground 1—admissibility of background material
  • Ground 2—interpretation of 2013 s 106 agreement
  • Binding nature of expert’s determination
  • Case details

Article summary

Planning analysis: The Court of Appeal has ruled on the correct interpretation of provisions in a section 106 agreement concerning the calculation of financial contributions towards education and affordable housing. It found that reference in the calculation to ‘actual sales revenue’ received from the disposal of the units in a phase included ground rent receipts, the values of retained freehold reversionary interests, and/or the sales proceeds from the subsequent sale of those reversionary interests. or take a trial to read the full analysis.

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