Re: Return of S106 money - Public forum - Planning Advisory Service (PAS)
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En cours - juillet 2012
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Dernière modification - May
Re: Return of S106 money
A developer has put in a revised application for a reduction in the number of houses in a development from 135 to 117. Four years ago, prior to commencement thay paid a contribution towards open space and transport based on the number of houses. This money has now been spent. Are we obliged to return the money for the 18 houses that will not now be built?
If the Legal Agreement does not specify this in the conditions for returning the money (eg usual one is 5 years to spend from receipt), and the funds have been received and spent then I would say it does not have to be returned. Unusual to hear a case this way around - usually it is the developer trying to reduce the level of contribution before a penny has been paid!
It may repay havng a look at the recent case Hampshire County Council -v- Beazer Homes Limited on Bailli (http://www.bailli.org/ew/cases/EWHC/QB/2010/3095.html), which dealt with the repayment of contributions not used for improvements. Having said that, the original amount was settled upon the number of houses to be constructed under the original planning permission. That money was paid, and has been spent It seems to me the LPA has properly expended the monies and it would be unreasonable for a developer to recover them. A LPA cannot surely be expected to hang onto monies for ever to see if all the houses are built out before spending it..
Gillian - further to my views above I would also add that I would never offer to pay anything back, wait until you are approached by them. Developers rarely do ask, although they are now starting to wise up a bit and checking more often whether contributions are spent on time, and for the intended purpose. There is also the question as to, if this was a Unilateral Agreement rather than a 'full on' s106 Legal Agreement, whether the developer could claim anything back as your council would have accepted but not signed up to the Agreement. But that's a different topic.................
Sarah Cornwell, modifié il y a 13 années.
Re: Return of S106 money
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Lawrence can you attach the HCC case I could not get your link to Bailli to work.
I have copied it directly off the address bar. Copy it and paste into the address bar in your browser and it should take you to the site. http://www.bailii.org/ew/cases/EWHC/QB/2010/3095.html Neutral Citation number: [2010] EWHC 3095 (QB). If the whole address does not work then putting the neutral citation into a search engine might do the job.