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Posted 14 February 2014
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Termination and the tribunal’s jurisdiction

In the recent case of Hills Leisure UK Limited -v- Shepherd the First-tier (Property) Tribunal, “the Tribunal”, had to first consider whether it had jurisdiction to terminate a Mobile Homes Act Agreement.

It was previously decided in the case of St Albans City & District Council -v-Lysaght that the tribunal shared the jurisdiction with the County Court to determine an application for permission to terminate an agreement.  However in the Hills Leisure case the tribunal determined that, the decision in the St Albans case was specific to the facts of that case and it would not be appropriate to follow that decision.

The tribunal ruled that it would only have had jurisdiction to terminate a Mobile Homes Act Agreement if there had been a pre-existing arbitration agreement and the matter had been referred to the tribunal rather than an arbitrator.

While tribunals are not obliged to follow previous tribunal decisions they will have regard to them, as in this case.  Park owners should not apply to the tribunal for permission to terminate an agreement in any other circumstances than where there is a pre-existing arbitration agreement and the matter has been referred to the tribunal as identified in the Hills case.  An application in any other circumstances is likely to be transferred to the County Court for determination which will be a waste of time and money.

If you are considering applying for permission to terminate an agreement and are unsure as to which judicial body has jurisdiction, contact the Tozers parks team by telephone on 01392 207020 or by email on parks@tozers.co.uk

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