Renewal of business tenancy – negotiations ‘subject to contract’ – waiver and question of proprietary estoppel

Afreen Begum Haq v Island Homes Housing Association (1) and Tower Hamlets LBC (2) [2011] EWCA (Civ) 805 (20 July 2011)

In this case the Court of Appeal was required to review the law where parties embarked on a negotiation on a ‘subject to contract’ basis with a view to agreements to be set out in written contractual documents, where much of what was intended to be done was done at substantial expense to one party on land belonging to the other party but where the documents were never executed. Ownership of the land changed hands and the new owner who refused to sign the relevant documents.