Judicial review — Development corporation — Proposal to dispose of parks to independent trust — Whether decision of development corporation irrational — Whether legitimate expectation of consultation satisfied — Application dismissed
The respondent corporation is scheduled to be wound up in March 1992 having discharged their statutory functions. Pursuant to section 17 of the New Towns Act 1981, the respondents resolved to transfer their freehold interest in a linear park to the Milton Keynes Park Trust, a body to be established for the purpose. This proposal being in line with the current policy of the Department of the Environment favouring diversity of ownership where it is sensible, practicable and provides good value for money.
The applicant council sought to quash the transfer resolution on the grounds that there was a legitimate expectation of being consulted, and they had not been, and because the proposal was irrational because the applicants already own and manage other park land and it would perpetuate fragmentation of ownership and management of parks in the area.
Held The application was dismissed.
There was irrationality by the respondents; it was a matter of judgment for the respondents. The Secretary of State for the Environment had been fully informed and his approval would be required in due course when the proposal was submitted to him. There was no statutory or other legal obligation to consult the applicants. The safeguard was the Secretary of State’s approval. The respondents had consulted the applicants and were aware of their views. They reaffirmed their proposal after considering the applicants’ opposition.
Frederic Reynold QC and Michael McParland (instructed by Sharpe Pritchard) appeared for the applicants; Robert Carnwath QC and Timothy Fancourt (instructed by the solicitor to Milton Keynes Development Corporation) appeared for the respondents; and John Howell (instructed by the Treasury Solicitor) appeared for the Secretary of State for the Environment.