The Court of Appeal has delivered judgment in the case of Arkin v Marshall. The case, which had been leap-frogged to the Court of Appeal, represented a challenge to Court Practice Direction 51Z. The Practice Direction, which came into force on 26 March 2020, is the vehicle by which the Court has been staying all existing and newly issued possession claims until 25 June 2020. It is by no means out of the question that the Practice Direction will be used to stay claims further if it is deemed necessary.
The main thrust of the challenge to the Practice Direction was that it was not within the powers of the Master of the Rolls and the Lord Chancellor to make it so that the Practice Direction was “ultra vires”. However, the Court of Appeal found that the Practice Direction was effectively a pilot scheme and that it was reasonable to relieve the pressure on the administration of justice and to reduce hearings so as to minimise the risk of spreading the virus. Further, it may be reasonable for the Master of the Rolls to introduce a permanent rule to allow for further stays should the epidemic peak again.
Another ground relied upon in the Appeal was that it denied access to justice. The Court of Appeal found that the “short” delay (their description) in dealing with possession proceedings was justified in the current circumstances and did not present a risk that parties would be denied access to justice.
The decision will be a disappointment to landlords seeking to deal with issues of ASB and facing delays in their possession proceedings and to those with rent arrears cases issued before 26 March which are based on arrears accrued before the current crisis.