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Citation(s) [1912] UKPC 1. [1912] AC 465 People also search for Ropaigealach v Barclays Bank plc | ||
Fairclough v Swan Brewery Co Ltd [1912] UKPC 1 is an English land law case, concerning mortgage.
Contents
Facts
A had a lease of a hotel, due to expire in June 1925. In return for a loan from C, A transferred his Lease to C by way of security for A’s duty to repay the loan. Under the mortgage deal, the last repayment is due in May 1925. In 1910, A was in a position to repay the debt plus the agreed interest. C insisted it had an additional right: A could not repay the debt until May 1925.
Judgment
Lord Macnaghten held that A was able to pay off the debt early. If the additional right were enforceable, the prospect of A regaining his right would, in effect, be removed. The prospect of regaining the lease for a month was not reasonable.
References
Fairclough v Swan Brewery Co Ltd Wikipedia(Text) CC BY-SA