COURT HAS JURISDICTION TO GRANT RELIEF FROM FORFEITURE OF A FINANCE LEASE

On Demand Information plc v Michael Gerson (Finance) plc ([2001] 1 WLR 155)

The Court of Appeal in On Demand Information plc v Michael Gerson (Finance) plc [2001] 1 WLR 155 has affirmed the decision of Mr George Lawrence QC sitting as a deputy judge of the High Court (on which see our May 1999 issue pp9–12) to the effect that a court has jurisdiction to grant relief from forfeiture of a finance lease. However, on the facts of the case, the Court of Appeal affirmed that the appellants were not entitled to invoke the jurisdiction to grant relief on the ground that the goods the subject matter of the finance lease had been sold so that it was no longer possible for the court to restore the lease so as to enable it to continue. The House of Lords has granted leave to appeal from the decision of the Court of Appeal (see [2001] 1 WLR 1326).