Two further cases on mistakes, following the recent House of Lords decision in Kleinwort Bension v Lincoln City Council, which overturned a 200 year old rule, and allowed recovery of money paid following a mistake as to law.
Nurdin & Peacock plc v DB Ramsden and Co Ltd
Facts
: A lease granted by DB Ramsden required additional payments to be made by the tenant in the fourth and fifth years on the quarterly rent payment dates. Nurdin & Peacock then took over the original tenant company and continued to make the additional payments beyond the end of the fifth year. It then questioned whether the additional payments were still payable but continued to pay them as demanded.
Held
: Nurdin & Peacock were entitled to recover the first five additional payments because they had been paid following its mistaken belief of fact that it was liable to pay the extra money. The last five overpayments were made after Nurdin & Peacock had contended that the additional payments were no longer
