Stallages, Rents, and tolls.
Stallage is the sum which may be demanded by the
owner of the soil on which a market or fair is held in return for the privilege of placing a stall upon it (see
for example Kearton V Robinson 1965 63 L. G. R. 341 at .343.)
Stallage is not payable unless there is some exclusive occupation of the soil by the person from whom it is demanded,
as where stalls or tables are erected or baskets placed upon the ground.
Whether or not occupation is exclusive is , however , a question of fact . and persons resting their goods or baskets on the ground for a short time will not be liable . Stallage may take the form of a rent payable weekly , or at intervals , for the continuous hire of a stall; alternatively, a payment may be made for the use of a stall throughout the course of a single market day . A local authority which maintains a market under a special Act may , however make in connection with the market such charges as it determines from time to time, notwithstanding anything in the local Act . This discretion shoud , however be exercised in a reasonable manner ( See the words of Lord Wrenbury in Roberts V Hopwood 1925 A . C . 578 at p 613: " A Person in whom is vested a discretion must exercise his discretion on reasonable grounds . A discretion does not empower a man to do what he likes merely because he is a minded to do so - he must in the exercise of his discretion do not what he likes but what he ought . In other words, he must, by use of his reason, ascertain and follow the course which reason directs. He must act reasonably".)
Furthermore, if a local authority market owner decides to raise charges for stalls to a level which makes it uneconomic to trade, it is open to the stallholder to argue that the resulting threat to his livelihood affects his common law rights. So removing into public law. In these circumstances, the local authority decision is susceptible to challenge by way of judicial review.
The right of taking toll is not incident to a market or fair, and some markets and many fairs are toll - free . Everyone has , at common law , the right and liberty of buying and selling in a public market or fair. Toll is a payment on the sale of goods and is clearly distinguishable from stallage, which is a payment for the use of part of the soil and which is generally payable whether a sale is effected or not. The amount of toll payable on goods depends on the goods sold . Toll may include stallage as a general word for all such charges or payments
Rent Reviews
Property and Estates 29 . 6 . 78 1978 Public
Market Rents 14th April 1971 Council Meeting
Resolved That (1) the weekly rents
of permanent shops and stalls be increased in accordance with Appendix E of the City Treasurer's Report No 42a
with effect from 8th November 1971 as follows
Zone A ( per super foot ) £2 . 50p
Zone B £2 . 19p
Zone C ( 75% 0f Zone A ) £1 . 88p
Zone C Nos 23 / 24 and 29 £2 . 00p
Zone C Fish Market £1 . 75p
The recommendation of the Policy and Resources committee
here on ( Minutes p. 106 ) was reported .
The Director of Estates and Housing reported upon preliminary discussions which had taken place with representatives
of the Market Traders ' Consultative Committee with regard to the proposed rent reviews .
The Committee further considered the level of rents in the light of the changed financial position of the Public
Market .
Recommended : That ( 1 ) the rents of appropriate permanent shops and stalls in the Public Market not let by tender
be increased by 9.5 % , and part of any resultant surplus in the accounts be earmarked for expenditure for the
benefit of the Public Market in the form of improvement and repairs ,
( 2 ) the Director of Estates and Housing (a) negotiate rent increases with appropriate tenants and the proposed
settlements be referred to the Chairman and Deputy Chairman for decision , and
(b) formulate a program of improvement , repair and maintenance work in the Public Market phased over the years
1979 / 1982 and report thereon to Committee with a view to the necessary provision being included in the estimate
for these years ,
( 3 ) the rents of shops and stalls which have been let by tender be increased by appropriate amounts not exceeding
9.5% depending upon the circumstances of each case , and the Director of Estates and Housing negotiate such increases
with tenants , and the revised rents be referred to the Chairman and Deputy Chairman for decision , and
( 4 ) rent reviews in future years be carried out in such a way that Market tenants pay the current market rental
values for their shops / stalls in accordance with their Tenancy Agreements.
Property and Estates 16 . 9 . 82 1981
48. Rent Review and Arbitration
The City Secretary & Solicitor reported that stallholders had now agreed to a rent increase of 25% but had
requested that implementation of the new increases be deferred to a date later than the review date , 31 December
1981 .
Recommended : That the rent increase take effect from 31 December 1981 .
Property and Estates 30 . 5 . 84 1984
13. Public Market - Rent Review
The Committee received the report of the Chief executive & Director of Finance on proposals to increase the
basic rents of the permanent shops and stalls in the Public Market , with effect from 29th December 1984 , for
a period of three years .
Recommended :
That ( 1 ) the basic rents for permanent shops and stalls in the Public Market be increased by 16.5% , with effect
from 29th December 1984, and the matter be referred to the market traders Joint Consultative Committee ; and
( 2 ) the casual stall , storeroom and miscellaneous charges be increased in accordance with the report.
Property and Estates 25 .3 . 87 1987
186. Public Market - Rent Review
The Chief Executive & Director of Finance submitted his report on proposals to increase the basic rents of
the permanent shops and stalls in the Public Market with effect from 29th December 1987 , for a period of three
years .
Recommended : That ( 1 ) the basic rents for permanent shops and stalls in the Public Market be increased by 15%
with effect from 29th December 1987 ; and ( 2 ) when the required notices of the Councils intention to review the
rents have been served upon all tenants of the permanent shops and stalls , the proposed increase be referred to
the Market Traders Joint consultative Committee.
1990
Rent Review 33% increase
1993
Rent Review 35% increase , with a ceiling at £18 . 00 a sq. ft .
Service Charge
Where the service charge is payable before the relevant costs are incurred , no greater amount than is reasonable is so payable and after the relevant costs have been incurred any necessary adjustment shall be made by repayment , reduction of subsequent charges . The payer may require payee in writing to supply him with a written summary of the costs incurred . The summary shall set out those costs in a way showing how they are or will be reflected in demands for service charge . Where the payer has obtained such a summary , he may within six months of obtaining require the payee in writing to afford him reasonable facilities for inspecting the accounts . The payee shall then make such facilities available to the payer for a period of two months beginning not later than one month after the request is made .
Service Charge 24th Nov. 1975 Council
Meeting
Mr. Hoffman , representing the Market Traders Association stated that his clients would wish the opportunity of
pressing the revised tenancy agreement , incorporating the proposed service charge . It was stated that a draft
had been prepared and Mr. Hoffman indicated that provided terms satisfactory to both sides could be agreed his
clients would be prepared to stay Court proceedings .
The computation of the service charge as Tenancy Agreement 1976
( 2a ) The heads of expenditure specified in the Second Schedule hereto shall appear in an account issued by the
City Treasurer as soon after the end of each of the Council 's financial year as practicable being an extract from
the audited accounts of the Councils as certified by the District Auditor for each year and the account shall be
conclusive evidence for the purposes hereof of the matters which it purports to certify .
( 2d ) The annual amount of the service charge payable by the tenant as aforesaid shall be calculated by dividing
25. 6% of the proper estimate by the Council of the aggregate of the superficial floor areas of all the premises
( excluding never the less all common and other and other portions the occupation or control of which will be retained
by the council ) in the building the repair maintenance renewal insurance or servicing where of is charged in such
calculation as aforesaid and then multiplying the resultant amount by the superficial floor area of the demised
premises .
1 The cost of periodically inspecting examining maintaining overhauling and where necessary replacing every part
of the building and the appurtenances there to .
2 The cost of keeping clean and reasonably well lighted the building
3 The cost of maintaining at all times during normal business hours an adequate supply of water in the washroom
and toilets in the building
4 The cost of supplying maintaining repairing and renewing as need be such fire fighting equipment
5 The cost of supplying providing purchasing maintaining renewing replacing repairing and keeping in good and serviceable
order and condition all fixtures and fittings bins receptacles tools appliances materials and other things which
the Council may reasonable deem desirable or necessary for the maintenance upkeep or cleanliness of the building
6 The cost of providing reasonable heating of the building
7 The cost of supply of electricity for the purpose referred to in the proceeding clause in this schedule.
8 The cost of employing staff for the performance of the duties and services referred to in the preceding clauses
( including pensions and other payment contributions ) and the provision of uniforms working clothes tools appliances
and other materials for their duties .
9 All charges assessments impositions and other out going payable by the Council in respect of those parts of the
Building which do not comprise shops and stalls therein
10 The cost of insuring against fire and such other risks as the council may reasonably deem .
The cost of the tenants ' services would be as follows
| 1 | Wages ( 2 Attendants full time , 1 Porter , 1 Cleaner ) | £ | p |
| 2 | Repairs and Maintenance | £ | p |
| 3 | Fuel , light, water & Cleaning | £ | p |
| 4 | Water Rates | £ | p |
| 5 | Minor Electric's | £ | p |
| 6 | Equipment , tools , Fire Extinguishers , etc. | £ | p |
| 7 | Clothing and Uniforms | £ | p |
| 8 | Car allowance | £ | p |
| 9 | Insurance , Fire , Employers liability , public liability | £ | p |
|
|
|
||
| Total | £ | p | |
|
|
|
Assignment
Public Services and Recreation 5 . 10 . 70 Council
Meeting ;
125 Selling of Businesses .
The Town Clerk reported with respect to the policy of the Council on the question of the selling of businesses
and Mr. F. Baker on behalf of the Market Traders Association said traders felt very strongly about the present
policy and would like to have some assurances that ultimately a tenant would be able to sell his business for health
or other reasons . The Association said traders felt very strongly about the present policy and would like to have
some assurance that ultimately a tenant would be able to sell his business for health or other reasons . The Association
, therefore , requested that in addition to the present policy of a long standing tenant being able to nominate
a relative as his successor the Committee consider allowing a tenant of say 20 years standing to negotiate with
a person on the waiting list for the sale of goodwill etc.
An exchange of views took place in the matter and it was agreed that
( 1 ) the Association's request be submitted to the Public services and Recreation Committee and
( 2 ) the Market Superintendent make esquires as to the policy adopted by other authorities .
Assignment of Tenancies - Conditions 3 January 1972 Council Meeting
The City Treasurer's report with respect to the conditions to be imposed in connection with the assignment of leases
in the Public Market was submitted
Resolved That (1) applications for consent to assign tenancies be considered in accordance with the following conditions
( i ) Applications will only be considered from tenants who have held the tenancy of a permanent shop or stall
for a period of not less than 10 years ( including the tenancy of a shop or stall in the old Market )
(ii ) No Assignment or sub-letting to a limited company will be permitted .
( iii ) The existing restriction upon the number of premises which a person may be held by existing traders shall
apply ( i.e. in the case of assignment to an existing tenant he cannot , after assignment to an existing tenant
he cannot , after assignment , be the tenant of more than one shop or 2 " B " stalls )
( iv ) Applications shall be made to the Market Superintendent not less than three months prior to the date upon
which the tenant wishes to vacate the stall .
( v ) The assignment shall be subject to the approval of the Council to the ingoing tenant
(vi ) The rent payable by the ingoing tenant shall be such amount as may be fixed by the Council or as may be tendered
by the ingoing tenant in the event of the Council deciding to invite tenders for the rental of the shop / stall
from prospective tenants .
(vii ) The person selected for the tenancy to negotiate with the outgoing tenant and in the event of agreement
not being reached between the parties , the amount shall be settled by an independent arbitrator to be appointed
by the President , for the time being , of the Chester and North Wales Incorporated Law Society
(viii ) The Council reserve the right to refuse permission to assign in the case of a tenant who has not at all
times complied with the conditions of his tenancy agreement or where a business carried on at a shop or stall has
not been personally conducted by the assignor (ix ) The assignment shall be off the tenancy agreement, i. e. the
same trade must be continued, Wherever there is a change of trade, the letting shall be by tender
(x ) The business shall be conducted personally by the assignee. The practice of taking someone into partnership
or having a manager run the stall be prohibited wherever this means that the tenant is the tenant in name only
.
(2) The Chairman and Deputy Chairman be empowered to decide after consultation with the City Valuer and subject
to condition (ix) whether tenders should be invited from prospective tenants in accordance with condition (vi )
.
Property & Estates 10 . 9 . 86
Council Meeting
Section 35.
The committee considered the present policy relating to assignment of tenancies for permanent shops and stalls
in the market .
Resolved : That (1) the 10 year restriction against assignments of permanent shops and stalls within the market
be discontinued;
(2) assignments be permitted subject to there being no arrears of rent, no change of use and to the financial standing
of a proposed assignee being satisfactory to the Council ;
Rates
Stall holders may , be liable to be rated if they occupy fixed places exclusively and such occupation is more than fleeting or intermittent . (Roberts v Overseers of Aylesbury 1853 Westminster Corporation v Southern Railway 1936 )
Payments made for stalls or standing places ( stallage ) in a market , or for making holes in the ground for support
( piccage) , are profits of the soil and must be taken into account in estimating the rateable value of the market
place (Roberts v Overseers of Aylesbury 1853 1 E . & B . 423 and see Worchester V St. Clement' s Overseers
1858 22 J. P. 319 )
A test as to whether the charge is attributable to the use of the soil ( as opposed to the right to hold a market
) is whether its payment confers upon the payer some right , privilege or advantage of user of the soil over and
above that made available to every member of the public attending the market with goods to sell . ( Duke of Bedford
V Overseers of St. Paul , Covent Garden 1851 51 L. J. M. C. 41 at p.45 per Bowen J.; Oswestry Corporation v Hudd
valuation officer 1966 1 W. L. R. 363 at p. 380 per Russell L. J. ) Payments satisfying such test enhance the value
of the occupation.
Payments need not necessarily be made in respect of each separate stall , but may be in respect of a separate portion
of the market place specifically allotted for the sale of certain types of goods . ( Duke of Bedford v Overseers
of St. Paul , Covent Garden 1881 51 L. J. M. C. 41 ) It is enough if payment is made for some standing room in
the market, as distinct from the mere entrance into it, even although the exclusive occupation of the soil is of
short duration , ( R .v Barnard Castle 1863 27 J. P. 534 ) or the market owner is liable to alter the location
of the portion of soil so occupied from time to time . ( Mayor of London v Assessment Committee of Greenwich Union
1883 48 L. T. N. S. 437. )
In the Market the ' A ' shops and ' B ' stalls are classed as individual hereditaments , as such they are individually
rated by the rates department and are liable to pay the appropriate rate in the pound . The reason given as to
why individual assessment produces a higher rates payable figure, as opposed to a global assessment is that the
rateable value of the stall is, in the opinion of the district valuer, a true and accurate assessment of how much
your stall would be worth in annual rent .
The casual stalls are globally rated the district valuer takes into account the discount the landlord would offer
if one tenant wished to occupy the whole area . The main criteria a district valuer takes into account when differentiating
between individual and global assessment is who retains " paramount control " . If traders are severely
restricted on such points as opening / closing hours, days open, access to stock - and probably the most important
point - none or only the minimum security of tenure if under the terms and conditions your landlord can throw you
out by giving a week 's or a months notice , individual assessment would seem unlikely .
Holders of stalls in markets are not generally rateable in respect of their occupation of such stalls since a degree
of permanence is an essential element in rateable occupation . ( Roberts v Overseers of Aylesbury 1853 E. &
B. 423 but cf Williams v Wednesbury and West Bromwich Churchwardens and Overseers Union Assessment Committee 1890
Ryde Rat . App 1886 - 90 . 327 exclusive occupation of market on two days a week held rateable : and see also R.
v Mosley 1823 2 B. 7 C. 226 . )
Illustration
In 1880 , an attempt was made to rate a stall holder in Bodmin Market . It appeared that his stalls were capable
of being removed , and were liable to be removed from one spot to another , provided that they continued in the
same position relative to other stalls . Held That the stall holder had no exclusive right to occupy any definite
portion of the soil , and therefore had no rateable occupation : ( Spear v Guardians of Bodmin Union ) .
The rates you pay are based on the rateable value of the property , all non domestic properties are revalued every
five years . the new rateable value is an estimate of the yearly rent at which your property might have been let
if it had been on the market ( 1st April 1993 )
Zoning
As described previously , toll is a payment on the sale of goods and is clearly distinguishable from stallage , which is a payment for the use of part of the soil and which is generally payable whether a sale is effected or not The amount of toll payable on goods depends on the goods sold , and it is not possible to sustain at common law a different toll for the same article in different parts of the same market .
But payments in the nature of stallage , even though called toll , may vary accordingly to the part of the market
place in which the goods are pitched . For example , it may be very much more profitable to erect a stall in certain
parts of the market and that will justify a higher stallage than in other parts . ( Duke of Bedford V Emmett 1820
3 B. & Ald 366 )
Public Market Rents 14th April 1971
Council Meeting
Resolved That (1) the weekly rents of permanent shops and stalls be increased in accordance with Appendix E of
the City Treasurer's Report No 42a with effect from 8th November 1971 as follows
Zone A ( per super foot ) £2 . 50p
Zone B £2 . 19p
Zone C ( 75% 0f Zone A ) £1 . 88p
Zone C Nos. 23 / 24 and 29 £2 . 00p
Zone C Fish Market £1 . 75p
Public Services 22 . 1 . 75 Council
Meeting
Recommended :
That ( 1 ) Shops and Stalls continued to be ' zoned ' as at present according to their trading position , the zoning
to be in accordance with the plan enclosed with the report of the Director of Estates and Housing now submitted
,
( 2 ) subject to the provisions of an Order to be made by the Secretary of State for the Environment under the
Counter Inflation Act 1973 relaxing the business rents freeze , the rents of permanent Shops and Stalls ( where
applicable ) be increased to the following levels :-
Zone ' A ' - £4.00 per sq. ft. ( except the largest units which will be at £3 .50 per sq. . ft. to
reflect quantity )
Zone ' B ' - £3.50 per sq. ft ( except the largest units which will be at £3 .00 per sq. . ft. to reflect
quantity )
Zone ' C ' - £3.00 per sq. ft.
Tenders
One solution to increase profitability to the market was the introduction of tendering for the rent, when the unit became vacant . At this time the tenants had no right of assignment of the shop or stall , there is no evidence of any premium being paid in respect of any of the tenancy agreements of the early tendered rents .
Property and Estates 27 . 10 . 77
Council Meeting
Section 98 . Letting of Permanent Shops and Stalls
The Director of Estates and Housing outlined the existing policy of inviting tenders for the tenancies of permanent
shops and stalls and the Committee considered the request of the Market Traders that consideration be given to
a policy being adopted under which a fair rent would be established for shops and stalls as they became vacant
and, in the first instance, existing Market Traders of good standing be offered the tenancies .
Recommended :
That the existing policy be amended to provide that a fair rent be established for permanent shops and stalls when
they become vacant and, in the first instance the tenancies be offered to traders on the waiting list , subject
to the proviso that tenders be invited for the vacant shops and stalls periodically at the discretion of the Director
of Estates and Housing .
Report to the Chairman & Members of Public Services Committee Public Market Rents 17 . 1 . 75 P. L. Styles Director of Estates and Housing
1. The Public Market has now been in operation for 7 years and the rents charged , with the exception of the recent
lettings by Tender , are those which were fixed at the last rent increase in November 1971 .
2. Most rents charged are now out of date and should be reviewed .
6. It is important to realize that the rent is attributable to the stall and not the actual business being carried
on from the stall . accordingly each stall of the same size within the same Zone would carry the same rent , which
would be fixed at a level considered fair to all types of trade whatever their profitability .
7. Because some existing rents would be higher than the proposed new rent levels in the various Zones , such rents
would not be subject to review . The most recent rents have been tendered and are indicative of the profitability
of certain specific trades , but it would not be appropriate to raise all rents up to these levels , because some
traders would be unable to afford the same rent as others .
19. Whenever A shops or B stalls become vacant , the existing procedure whereby tenders are invited should be continued
. The highest tender will not necessarily be successful , the necessity to maintain a balanced market being of
first importance .
Public Services 22 . 1 . 75
Recommended :
That ( 1 ) Shops and Stalls continued to be ' zoned ' as at present according to their trading position , the zoning
to be in accordance with the plan enclosed with the report of the Director of Estates and Housing now submitted
,
( 2 ) subject to the provisions of an Order to be made by the Secretary of State for the Environment under the
Counter Inflation Act 1973 relaxing the business rents freeze , the rents of permanent Shops and Stalls ( where
applicable ) be increased to the following levels :-
Zone ' A ' - £4.00 per sq. ft. ( except the largest units which will be at £3 .50 per sq. . ft. to
reflect quantity )
Zone ' B ' - £3.50 per sq. ft ( except the largest units which will be at £3 .00 per sq. . ft. to reflect
quantity )
Zone ' C ' - £3.00 per sq. ft.
( 3 ) the individual rents be as set out in the Appendix of the Report of the Director of Estates and Housing now
submitted , the rents to be exclusive of rates and service charge ,( 4 ) the Clerk and Chief Executive be authorized
to serve all necessary Notices to quit under the Landlord and Tenant Act 1954 ( as amended ) and to offer new tenancies
at the revised rents ,( 5 ) whenever ' A ' Shops or ' B ' Stalls become vacant the existing procedure whereby tenders
are invited be continued ,( 6 ) a rent review clause be inserted in all new tenancy agreements and the next review
take place in three years time, ( 7 ) with effect from 1st April , 1975 , the charges for casual stalls be as follows
: -
Monday and Wednesday - 12p per sq. . yd .
Tuesday Thursday and Friday - 20p per sq. . yd .
Saturday - 25p per sq. . yd .
( exclusive of service charge )
( 11 ) with effect from 1st April 1975 , the increased charges for store rooms , storage cupboards and storage
lockers be as set out in the Appendix to the Report of the Director of Estates and Housing .
Tenancy agreement Rent 22nd February 1976
( 3 ) The rent shall be reviewed as follows :-
( b ) During the 3 years thereafter and for each successive period of 3 years such rent shall be payable as shall
have been agreed between the Council and tenant or determined as hereinafter provided to be the current market
rental value of the demised premises at that time such rent to be ascertained as hereinafter described .
( c ) Notice of the Council ' s intention to review the rent shall be given in writing not less than nine months
before commencement of the relevant 3 year period .
( d ) The Agreement between the Council and tenant as to the rent to operate for each relevant period of three
years . shall be in writing signed by both parties .
( e ) If such Agreement to determine the new rent has not been made six months before the commencement of the relevant
period of 3 years then the matter shall be referred to the decision of a single arbitrator nominated by the Royal
Institute of Chartered Surveyors accordance with the provisions of the Arbitration Act 1950 or any statutory modification
or re-enactment thereof for the time being in force provided that until such new rent shall have been determined
the rent firstly here in before reserved shall continue to be payable and any difference between that and the rent
during such period as this last proviso operates shall be added to and payable with the next installment of rent
due after the said new rent has been determined .
( f ) The arbitrator shall give notice in writing of his decision to the Council and the tenant within two months
of his appointment
( g ) The costs of the arbitration shall be shared equally between the council and tenant
