Partial payment of compulsory acquisition award refused due to unresolved title and restrictive covenant issues

The Court of Appeal refused to overturn the High Court’s decision denying a property company’s application for part payment of a substantial compulsory acquisition compensation award relating to land acquired for motorway construction. The original award, granted by an arbitrator, was premised on the property company holding an unencumbered freehold title. However, subsequent proceedings confirmed that the title was in fact encumbered by a restrictive covenant, which had not been resolved at the time of the High Court hearing or since. The Court of Appeal found that, since key issues regarding the enforceability of the award—particularly the effect of the restrictive covenant on the land’s value, and whether any part of the award was 'indisputably due'—remained undecided, it would be inappropriate to order any part payment. The Court also noted the lengthy delay since the land was acquired, much of it due to the applicant’s failure to resolve the title issue, and held that arguments regarding interim payments could not succeed where fundamental disputes persisted. The appeal was dismissed, with costs awarded against the appellant.