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Bellway Homes sued in hospital development dispute

A legal dispute over the residential redevelopment of a former hospital site at Dorchester is heading for Londons High Court.

Charlton Down Developments has issued a writ against Bellway Homes seeking damages for alleged breach of contract in respect of the development on the former Herrison Hospital site at Dorchester.

The writ, issued in August and just made publicly available by the High Court, says that Charlton Down agreed to buy part of the hospital from Bellway in 1998. However, it claims that Bellway has breached agreements by failing to carry out obligations in respect of the provision of road and water services.

Bellway is also accused of failing to obtain relevant planning consents and failing to give Charlton Down all relevant information. Other issues in dispute include the provision of units of affordable housing, the timing of practical completion of the village shop, and access to car parks.

The writ says these alleged breaches have limited Charlton Down’s ability to develop and market the property, and claims that the company has lost sales. It says that the prices for houses that have been sold have been diminished.

Charlton Down is suing Bellway for damages and court declarations that it is entitled to unimpeded access to car parks on the site.

PLS News 11/10/01

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