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Wszystkie sprawy
Unjust Enrichment
House of Lords
1999

Kleinwort Benson Ltd v Lincoln City Council

[1999] 2 AC 349

Ratio Decidendi

Money paid under a mistake of law is recoverable in a claim for restitution, just as money paid under a mistake of fact. The old rule barring recovery for mistakes of law was abolished.

Fakty

Banks entered into interest rate swap agreements with local authorities. After the agreements were held to be void (following Hazell v Hammersmith), the banks sought to recover money paid under them.

Podsumowanie orzeczenia

The House of Lords (3–2) held that the mistake of law bar should be abolished. Money paid under a mistake of law is recoverable in restitution on the same basis as money paid under a mistake of fact.

Kluczowe cytaty

"I can see no good reason for the mistake of law rule to be maintained in our law."

Lord Goff

Późniejsze zastosowanie

Foundational

Abolished the mistake of law rule; fundamental to the modern law of unjust enrichment.