What damages are recoverable for an interference with a landowner’s right to light? Can the claimant take a share of the profit made on an adjacent development site where light is blocked by new construction works? In Forsyth-Grant v Allen (2008) CA (Civ Div) 8th April, the Court of Appeal looks at the circumstances in which an account of profits may be awarded as damages in an action for interference with a property right. In this case, the Court of Appeal rejected a claim for an account of profits where a hotel owner had sued for damages in nuisance for the loss of a right to light. The loss was caused by the construction of two houses adjacent to the hotel. The owner claimed damages for nuisance or for an account of profits. The Court of Appeal held that there was no decided case where an account of profits had been awarded in lieu of damages for nuisance. There were no exceptional circumstances, as required by the House of Lords decision in Attorney General v Blake (2001) 1 AC 268 HL, to justify such an award.
The practical implications of this case are considered in the May edition of CPI Update.