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GAZETTE

JANUARY/FEBRUARY 1981

leases in respect of premises of

the type the subject matter of

the application are unknown in

the property world and in view

of the evidence that it would be

pure speculation to try and

endeavour to determine the

inflationary trends (if any) over

a ninety-nine year period.

The President of the Circuit Court

had accepted the following matters as

being established by the evidence:

(a) The sum of £10,000 determ-

ined by the County Registrar as

the purchase price was so

determined without regard to

inflation.

(b) If inflation was to be ignored

this sum of £10,000 was

reasonable.

(c) Over the past ten years infla-

tion had shown an average

(annual) increase of 12.2%.

(d) The Respondents would not be

willing to grant a ninety-nine

year lease of the premises

without a provision for rent

reviews.

(e)

A ninety-nine year lease of

premises similar to the subject

matter of the application was

something which would now be

unknown in the property world.

(0

It would be impossible to

predict the rate of inflation for a

ninety-nine year period.

The supreme Court was referred to

its decision in

Byrne v. Loftus

[1978]

I.R. 211, in which it had held that if

there was evidence to support such a

course, a Court could (in granting a

twenty-one year lease approval) fix a

rent which would provide an aggre-

gate amount of rent over twenty-one

years equal to the total of the rents a

willing landlord would obtain by

granting a lease for twenty-one years

with a clause providing for rent

reviews. The Court stated that it

found it difficult, if not impossible, to

imagine credible evidence being

adduced which would indicate a

likely or possible rent to be determ-

ined now which would on aggre-

gation over more than ninety-nine

years equate to what an imaginary

lessor would be willing to take and an

equally imaginary lessee would be

willing to give for a ninety-nine year

lease subject to rent reviews. The

Court could therefore not apply the

principle laid down in

Byrne

v.

Loftus.

HELD (per O'Higgins CJ. with

Kenny and Parke J J. concurring,

and with separate concurring judg-

ments from Henchy and Griffin J J.).

That on the facts as found by the

President of the Circuit Court it was

simply not possible to have regard to

a rent which would be reserved (with

no provision for periodic rent

reviews) by a reversionary lease for

ninety-nine years of the premises the

subject matter of the application as

such a rent was not capable of being

ascertained. Accordingly the Court

answered the first question "no" ana

also held that the determination of

the County Registrar was governed

by the statutory requirements con-

tained in Section 17 (2) (b) of the Act

of 1978 and accordingly answered

the second question "no" also.

In his concurring judgment

Henchy J. stated:

"If computation by reference to

the gross rent were merely directory,

the position would be different. But it

is a prerequisite to the exercise of

jurisdiction to fix the purchase price.

The rule to be applied, therefore, is

that stated as follows in Maxwell on

The Interpretation of Statutes

, 12th

edition, p. 328:

'Where an act or thing

required by the statute is a

condition precedent to the juris-

diction of a tribunal, compli-

ance cannot be dispensed with

and, if it be impossible, the

jurisdiction fails. It would not

be competent to a Court to

dispense with what the legis-

lature has made the indis-

pensible foundation of its juris

diction.'"

In concluding his concurring judg-

ment Henchy J. stated:

"The way out of the unfortunate

impasse disclosed by this case stated

is for Parliament to enact, in placc of

the existing method of ascertaining

the purchase price of a ground rent, a

method which will not depend on an

unworkable element. It is unfor-

tunate that, pending such a statutory

change, a ground rent can be bought

out by a tenant only when the parties

agree to the amount of the purchase

price."

Seán Gilsenan v. Foundary House

Investments Ltd. and Rathmincs

Properties Ltd.

Supreme Court

(per O'Higgins CJ .) with concurring

judgments of Henchy and Griffin

JJ.) -

14 November 1980

unreported.

LOCAL GOVERNMENT-

SANITARY SERVICES ACT 1964

Section 3 (8) (a) of Sanitary Services

Act 1964 — prohibiting the repair or

letting of premises ("structure") or

the carrying out of works on the site

unto payment to the sanitary

authority of sums expended by the

authority on carrying out of speci-

fied works in default of owner doing

so pursuant to District Court Order

— applied to the premises and site in

question and not only to the then

owner of the site; and a person subse-

quently purchasing the premises or

site took subject to and affected by

the District Court Order. Who was

"owner" at the time of the Order also

considered on the facts.

The Prosecutor (F. & C. Limited)

bought the fee simple in the four

premises numbers 1-4 Roby Place,

Dun Laoghaire, by indenture of

conveyance dated 9 June 1978 from

Rochford Holdings Limited ("Roch-

ford"). Rochford had owned the

property from prior to 31 May 1976.

In 1974 and 1975 applications for

planning permission in respect of the

premises had been made by archi-

tects on behalf of T. & J. Nolan Buil-

ders Limited ("T. & J. Nolan")

stating that T. & J. Nolan were the

owners of the fee simple. There was

an identity of directors in both Roch-

ford and T. & J. Nolan.

On 31 May 1976 Dun Laoghaire

Corporation ("the Corporation")

served Notice on T. & J. Nolan

pursuant to Section 3 of the Local

Government (Sanitary Services) Act

1964 ("the 1964 Act") of the fact

that the Corporation were of the

opinion that the floors and ceiling of

the four premises was a "dangerous

structure" within the meaning of

Section 1 of the 1964 Act and

requiring T. & J. Nolan to carry out

certain works specified in the Notice.

On 29 June 1976 further Notice was

given by the Corporation to T. & J.

Nolan of an application to the

District Court in accordance with

Section 3 (5) of the 1964 Act for an

Order requiring T.

& J.

Nolan to

carry out the work specified in the

Notice and in default for an Order

II