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07 February 2014 / Winston Jacob
Issue: 7593 / Categories: Features , Property
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Room for argument

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There is no satisfactory solution for the determination of costs under s 138(2) of CCA 1984, says Winston Jacob

Section 138 of the County Courts Act 1984 applies to a claim in the county court by a lessor for possession of land on the ground that the lease is forfeit due to rent arrears. Section 138(2) states: “If the lessee pays into court or to the lessor not less than five clear days before the return day all the rent in arrear and the costs of the action, the action shall cease, and the lessee shall hold the land according to the lease without any new lease.”

A lessee wishing to take advantage of this provision must act swiftly. The return day for these purposes is the first date fixed for the hearing of the claim: Swordheath Properties Ltd v Bolt [1992] 2 EGLR 68. The lessor need only serve the claim 21 days before that hearing (Civil Procedure Rules (CPR) r 55.5(3)), so the lessee may have as little as 16 days from

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