Errington v Errington LAND [1952] 1 KB 290

Court of Appeal

Basic Facts: A father promised X and D that they would inherit a house if they continued payments. After the father’s death, D paid the balance and sought possession from C, who had moved in.

Issue for the Court: What is the commercial license’s effect on third parties?

Held: The court held that a licensee could have a binding interest if they had relied on a promise and acted to their detriment.

 Denning LJ

• A licence grants a personal privilege without interest in land, and is enforceable against third parties who have notice.

• A contractual licence cannot be revoked by a new owner who claims through the original licensor.