195 / 406
GAZETTE
JULY/AUGUST
198
Taylor Fashions Ltd -v- Liverpool Victoria Trustees Co. Ltd. [ 1981 ] 1
All E.R. 897 at 909 per Oliver J. Lord Cranworth's explanation of
the principle relates to acquiescence; Lord Kingsdown's to
encouragement.
14.(1866) LR 1 HL 129 at 170.
15. [1962]IR 268.
16.(1884) 9 App. Cas. 699.
17.(1862) 4 De G. F. and J. 517.
18. In
Dillwyn -v- Llewellyn
(1862) 4 De G. F. and J. 517 the plaintiff
expended money in building a mansion on his father's land not
under any mistake as to the ownership of the land, but upon the faith
of a promise that he would be given the fee simple. He was held to be
entitled to call for a conveyance of the freehold.
19. Especially
Inwards -v- Baker
[1965] 2 QB 29.
20. [1947] KB 130.
21. [1962] IR 268 at 292.
22. The first case suggesting that the doctrine might apply outside the
area of contractual relations appears tob
e Denham Fancy Goods Ltd.
-v- Michael Jackson (Fancy Goods) Ltd.
[1968] 2 QB 839.
23.
Combe -v- Combe
[1951] 2 KB 215 at 224;
Argy Trading
-v-
Lapid
Developments Ltd.
[1977] 1 WLR 444.
24. But see
Amalgamated
Investment and Property Co. Ltd.
-v-
Texas
Commerce International Bank Ltd.
[1981] 2 WLR 554 at 571-573.
25. [1962] IR 268 at 292.
26.
Ibid.
27. The Irish law is, on this matter, substantially the same as English
law. Possession by licence of the owner of land is not adverse: see
Bellew
-v-
Bellew
[1982] IR 447;
Hyde -v- Pearce
[1982] I All E.R.
1029;
Hughes
-v-
Griffin
[1969] 1 All E.R. 460.
28. [1981] ILRM 419.
29.
Ibid,
at 419.
30.
Ibid,
at 420.
31.(1886) LR 1 HL 129 at 140-141.
32. [1981] ILRM 419 at 421. This aspect of Finlay P.'s judgment raises
large issues concerning corporate personality. Servants of the
County Council must have known that the land belonged to the
McMahons for two reasons. It was the County Council which had
sold the site to the McMahons in 1964, and Council employees had
been warned off the site in 1968. Finlay P.'s opinion on this point
therefore suggests that, at least in this context the actual knowledge
of the servants of a corporation cannot be imputed to the
corporation.
33.
Ibid,
at 421.
34.
Ibid,
at 423. An alternative remedy would have been to permit the
McMahons to recover possession on terms that they compensate the
County Council by re-imbursing the Council for the cost of the
building works or for the value of the improvements, whichever is
the less: see
Bright
-v-
Boyd
(1841) 4 F. Cas. 127; (1843) 4 F. Cas. 134
discussed in Palmer,
The Law of Restitution
(1978) pp. 435-440.
35. [1962] IR 268.
36. [1981] ILRM 419.
37.(1866) LR 1 HL 129.
38. He did so "Having regard to the fact that the plaintiffs were in this
action asserting a clear and well established legal right and have been
defeated in the enjoyment of that by what I conceive to be a novel
application of a general equitable principle": [1981] ILRM 419 at
424.
39. [1962]IR 268.
40. [1976] Ch. 179. This case was reported nearly a full year before
judgment was delivered in
McMahon
-v-
Kerry County Council.
It has
now been referred to with approval by Finaly P. in
Smith
-v-
Ireland
[1983] ILRM 300.
41. [1981] ILRM 419 at 423.
42.
Ibid.
43. See
Mutual Life and Citizens Assurance Co. Ltd.
-v-
Evatt
[1971] AC
793, [1971] 1 All E.R. 150 at 155. See also
Electrolux Ltd. -v-EIectrix
Ltd.
(1954) 71 RPC 23 at 33 (Evershed MR).
44. [1981] 1 All ER 897.
45.
Ibid,
at 911-912.
46.
Ibid,
at 915-916.
47. [1981] 1 All E.R. 923 affirmed on other grounds [1981] 3 All E.R.
577.
48. [1981] ILRM 419.
49. Above, footnote 44.
50. Above, footnote 47.
51. See [1981] 1 All E.R. 897 at 912.
52. These are the third and fourth of the five probanda of Fry J. in
Willmott
-v-
Barber
(1880) 15 Ch. D. 96.
53. [1981] 1 All E.R. 897 at 912. Sec also
Shaw
-v-
Applegaie[
1978] 1 All
E.R. 123 at 130-131.
Can I earn
a high rate
of interest
(Hi my
investment
with standard
rate income
tax paid?
wiPkthe.
I
• • • Educational Building Society
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