Court of Appeal overrules High Court decision to allow M&S to claw back £1.1m in rent and other charges from Landlord.

Court of Appeal has overrules High Court decision to allow M&S to claw back £1.1m in rent and other charges from Landlord

This serves as a blow to tenants trying to claim back rents following a break clause when there is no specific provision listed.

If M&S had been successful, Landlords could have been forced to refund to tenants portions of rent and services changes paid to exercise a break clause, even if the lease failed to provide for this eventuality.

M&S had been claiming one quarter’s prepaid rent and service charges relating to its premises at The Point, Paddington following the exercise of a break.

The High Court decision in favour of M&S did come as a surprise, being a departure from previous case law.  Hence perhaps this reversal is less of a surprise.