High Court Decides on Prescriptive Rights and Easements in South Tees Development Corporation v PD Teesport Ltd.

Citation: [2024] EWHC 214 (Ch)
Judgment on

Introduction

In the case of South Tees Development Corporation & Anor v PD Teesport Limited, the High Court of Justice delved into a multifaceted dispute revolving around asserted rights of way and the establishment of easements through prescription, express or implied grants, and proprietary estoppel. The litigation encompassed analysis of rights concerning access to specific land parcels and the legitimacy of construction on disputed land. This article dissects the legal principles employed in the decision-making process and connects them directly to the facts and outcomes of the case.

Key Facts

The case focused on several access routes across land owned by the South Tees Development Corporation (STDC) and the PD Teesport Limited (D). The contested routes were Access Route 1, leading to Teesport; Access Route 6, providing a path to South Gare lighthouse and associated facilities; and the path to Redcar Quay. Controversies arose over whether these rights of way were established through prescription, express or implied rights in historical deeds, or by proprietary estoppel due to the recent construction of a roundabout partially on D’s land.

Prescription

Prescriptive rights come into play when a party claims a right based on long-standing use. The court outlined that for a right to be prescribed, the use must be peaceable (nec vi), in the open (nec clam), and without explicit permission (nec precario), spanning over a specified duration, generally 20 years, according to common law or under the Prescription Act 1832.

In applying these principles, the High Court found D enjoyed prescriptive rights along Access Route 1 for general access and emergency scenarios, as well as along Access Route 6, supporting their use without explicit permission based on historical use patterns.

Express and Implied Rights

Express rights arise from explicit provisions within a conveyance document, while implied rights may be inferred from circumstances and underlying intentions during a transaction. The court observed the application of these principles in relation to the Swan Hunter Conveyance and the 1964 Deed, where D successfully claimed an express right of way, excluding haulage, under the 1964 Deed. However, D’s attempts to compile a full right of way across Access Route 6 from the 1891 Deed, the 1925 Deed, and the 1974 Conveyance failed due to insufficient evidence of express or implied grant.

Proprietary Estoppel

Proprietary estoppel protects the reliance on assurances involving property rights, where A reasonably relies on B’s assurance to their detriment. The High Court concluded that D’s reliance on STDC’s oral assurance regarding the roundabout construction was not reasonable in the commercial context, given the parties’ understanding of the need for formal documentation. Thus, D’s proprietary estoppel claim was unsuccessful.

Trespass

The claim of trespass relates to the wrongful entry onto another’s property. The court determined that there was a trespass onto D’s land by the construction of the roundabout’s footpath, based on comparisons of title plans and other plans.

Outcomes

The High Court delivered a nuanced outcome, recognizing prescriptive rights for D across certain access routes based on historical use patterns. However, D’s claims regarding implied rights from historical deeds and proprietary estoppel regarding the roundabout were rejected. Notably, D’s assertion of trespass resulting from the footpath associated with the roundabout was upheld, distinguishing between permissible land use and encroachment.

Conclusion

The South Tees Development Corporation & Anor v PD Teesport Limited case traverses complex issues of prescriptive rights, express and implied grants, and proprietary estoppel within property law. It highlights the necessity for meticulous analysis of historical use, intentions, and documented permissions when determining legal rights over land. The judgment reaffirms that while unwritten practices can result in established rights over time, commercial dealings under the construct of property development and mutual concessions must be formalized through explicit agreements to be binding.