Wrotham Park Estate Co Ltd v Parkside Homes Ltd | |
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Court | High Court of Justice, Chancery Division |
Decided | 19 October 1973 |
Citation | [1974] 1 WLR 798 |
Court membership | |
Judge sitting | Brightman J |
Keywords | |
Restitutionary damages |
Wrotham Park Estate Co Ltd v Parkside Homes Ltd [1974] 1 WLR 798 (/ˈruːtəm/) is an English land law and English contract law case, concerning the measure and availability of damages for breach of negative covenant in circumstances where the court has confirmed that a covenant is legally enforceable and refused, as unconscionable, to issue an order for specific performance or an injunction.
Such a remedy, which had precedent before the judgment, has since become firmly known as Wrotham Park damages, which are awarded (in lieu of specific performance or an injunction) under the jurisdiction created (powers vested in the court) by s. 2 of the Chancery Amendment Act 1858 (also known as Lord Cairns' Act). Such damages centre on the hypothetical negotiated value for a release of the covenant, and so in turn may look to a share of the profits from the business venture enabled by the breach; the court decided 5% of profits should be made payable.