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It’s hard to believe that 3 years have passed since the Court of Appeal ruled that the leaseholders of the Neo Bankside development (“Bankside”) could not establish a claim in nuisance against the Tate Modern (“Tate”) by reason of the viewing gallery on its Blavatnik Building (reported by us in 2020 here). Unsurprisingly, the leaseholders appealed that decision to the Supreme Court, and judgment was handed down only this week. The hearing itself before the Supreme Court took place in December 2021, so it appears to have taken over a year for the Lord Justices to reach their decision on the appeal, which itself runs to almost 100 pages, indicating the complexity and sensitive nature of the issue in hand.

For those interested in reading the judgment in full, it can be downloaded via the Supreme Court’s website here. (Spoiler alter, the leaseholders won on appeal!).

Background

For those not familiar with the background, Bankside is a luxury development of commercial and residential units, constructed between 2006 – 2012 and situated on the South Bank beside the Tate. The residential units include a glass-walled living area which was the centre of the dispute with the Tate, after it constructed a public viewing galley on the top floor of the Tate’s Blavatnik Building in 2016. The viewing galley boasted 360-degree panoramic views of London and, unfortunately for the residents of the flats on the south side of the viewing galley, direct views into the flats through their floor to ceiling glass windows.

The leaseholders commenced a claim against the Tate for an injunction, to prevent the use of the south side of the viewing gallery, as it was said to be “interfering with the residents of Bankside’s quiet enjoyment of their properties”, to such an extent that it constituted a nuisance. Whilst the case has been highly publicised as a case about privacy, in fact the case is one of nuisance and the legal principles that apply.

The Court of Appeal’s decision

The Court of Appeal had found in favour of the Tate, and said that the viewing gallery did not amount to a nuisance. The Court decided that, at its heart, the complaints were about an invasion of privacy, rather than of damage to property interests, which is at the centre of nuisance in legal terms. The Court of Appeal’s view was that if ‘overlooking’ were to form part of what could be a nuisance claim, then it was not a decision for the Courts to make. This would have to be reviewed by Parliament and the law changed as it has for other privacy issues, for example with Data Protection laws. The Court went on to say that interests in the locality should properly be protected by planning laws and controls, rather than private nuisance claims after the event

The Supreme Court’s Decision

The legal principles

Giving the leading judgment in the case, Lord Leggatt explored the legal principles which apply to cases of nuisance, which can be summarised as follows :-

Applying the legal principles

Lord Leggatt said, in fact, that he found it “entirely straightforward” to apply these legal principles to the facts of the case, in deciding that the claim for nuisance would succeed :-

As the Supreme Court’s decision overturned the decision of the Court of Appeal, which had been to uphold the decision of the original trial judge but for different reasons, Lord Leggatt also looked at how those Courts had misapplied the law :-

Note 2 of the 5 Lord Justices dissented with Lord Leggatt, and would have found for the Tate (albeit for different reasons than decided by the Court of Appeal). But as the majority agreed with him, the leaseholders’ appeal was allowed.

Remedy

Having concluded that the Tate was liable in nuisance, the Supreme Court declined to decide whether an injunction would be granted to prevent future use of the viewing gallery or, instead, to grant damages (as compensation to the affected leaseholders) in lieu of an injunction (for more on injunctions generally, see here). This would be a decision for the lower Court, now the question of liability had been finally decided, if the leaseholders and the Tate could not agree a solution between them. Lord Leggatt did say, however, that whilst the question of community/public benefit is not a defence to a claim for nuisance, it may be relevant to the remedy granted.

Conclusion

Whilst the case is clearly an exceptional one, with the viewing galley amounting to an exceptional use of the Tate’s land, the decision has the potential to cause headaches for developers and landowners. As such, specialist advice should be taken when looking to acquire or develop land which could result in a loss of privacy, or overlooking, to neighbouring land owners, sufficient to amount to a nuisance.

If you have any queries on this week’s Legal Update, please feel free to contact a member of the team on 01435 897297 or info@kdllaw.com.

Disclaimer

This legal update is provided free of charge for information purposes only; it does not constitute legal advice and should not be relied on as such. No responsibility for the accuracy and/or correctness of the information and commentary set out in the article, or for any consequences of relying on it, is assumed or accepted by any member of KDL Law or by KDL Law as a whole.

Source : KDL Law

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