Central London Property Trust Ltd v High Trees House Ltd [1947] KB 130, [1956] 1 All ER 256
In this case High Trees House Ltd leased a block of flats for a rate of £2,500 per year from the Central London Property Trust Ltd Due to the war and the resultant heavy bombing of London, occupancy rates in the city were drastically lower than normal. In January of 1940 High Trees House Ltd made an agreement with Central London Property Trust Ltd in writing to reduce the rent by 50%.
However, neither party stipulated the period for which this reduced rental was to apply. Over the next five years, High Trees paid the reduced rate while the flats began to fill and by 1945 the flats were full.
Central London then sued for payment of the full rental costs from June 1945 onwards (i.e. last 2 quarters of 1945).
Held: Because it was understood between the parties that the reduction in rent was only a temporary measure because of rental difficulties brought about by war-time conditions, the lessor was so entitled to its claim. The full rent was payable from the time that the flats became fully occupied in mid-1945. It was also stated that if Central London had tried to claim for the full rent from 1940 onwards, they would not have been able to.
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