ON APPEAL FROM THE QUEENS BENCH DIVISION
ADMINISTRATIVE COURT
MR JUSTICE COLLINS
CO/3348/2014
Strand, London, WC2A 2LL |
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B e f o r e :
LORD JUSTICE DAVIS
and
LORD JUSTICE SALES
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George Turner |
Appellant |
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The Secretary of State for Communities and Local Government Mayor of London The Shell International Petroleum Company and Braeburn Estates Limited Partnership London Borough of Lambeth |
Respondents |
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Mr Daniel Kolinsky QC & Ms Zoe Leventhal (instructed by The Government Legal Department) for the 1st Respondent
Mr Douglas Edwards QC & Ms Caroline Daly (instructed by the Solicitor to the London Borough of Lambeth and Mayor of London) for the 2nd & 4th Respondents
Mr Timothy Corner QC & Mr Paul Brown QC (instructed by Hogan Lovells) for the
3rd Respondent
Hearing dates : 20 May 2015
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Crown Copyright ©
Lord Justice Sales :
Introduction
The legal test for appearance of bias
"The test applicable to determine whether there has been apparent bias is based on the notional fair minded and informed observer. That individual must be taken to have formed an objective judgment having regard to all the circumstances. The fears expressed by a complainant that there has been an appearance of bias are relevant, as Lord Hope said in paragraph 104 of Porter v Magill [2002] 2 AC 387 at 494, at the initial stage when the court has to decide whether the complaint needs to be investigated. But they lose their importance when the stage is reached of looking at the matter objectively. And the assertions by the inspector that he was not biased are not likely to be helpful even if true. The test applicable is whether having regard to all the circumstances a fair minded observer would conclude that there was a real possibility that the inspector was biased."
"Mr Brown [for the Secretary of State] properly submitted that an inspector was entitled to have his conduct considered by the court in the same way as a judge's conduct would be considered if criticism of this nature [i.e. an alleged breach of the rules of natural justice and impartiality] was made. Indeed, Mr Brown, with justification, submitted that, in some ways, the position in relation to criticisms of this nature of the inspector was less vulnerable than that of a judge because the inspector's role, at least in part, was inquisitorial. Mr Brown rightly pointed out that a tribunal, be it a judge or inspector, should not be criticised if he made clear his view of issues which were advanced. He was not to be criticised if he manifested a lack of enthusiasm for submissions or evidence advanced before him. Indeed, it was often desirable that litigants or appellants should know the provisional views of a tribunal, be it a judge or any other type of tribunal, so that they could address their arguments and evidence to the matters on which the tribunal had reservations.
[Woolf J] accepted all the points of that nature made by Mr Brown, so long as they did not impinge upon the general principle that a litigant before a court, or a party conducting an appeal before an inspector, was entitled to have a fair crack of the whip and was also entitled to a hearing at which justice not only was done, but appeared to be done."
"It will be rare, because of the right of the tribunal to form preliminary views about issues, that the necessary degree of unwillingness to consider the issues will be established",
and Woolf J's description of the case before him as an "exceptional" case in which the court was justified in intervening.
"Looking at the material as a whole, [Woolf J] came firmly to the conclusion that there was at least a degree of hostility and a degree of refusal to pay attention to the evidence manifested by the inspector, so that it gave the impression to reasonable people attending the inquiry that justice was not being done. If reasonable people could take the view that they were not being given a fair crack of the whip, and that view was reasonably taken in this case, it seemed that that was the sort of situation where the court must intervene."
The factual background
(i) Conduct pre-inquiry
(ii) At the inquiry
"You will no doubt list all of the ways in which you find the scheme deficient, in fact I demand you do. And your case will no doubt be that those deficiencies are so terrible that they warrant refusal."
(iii) Post-inquiry: the Report
"I found the criticism at the Inquiry, by Mr Turner for RCL, of the values used to establish the review mechanism and the maximum financial contribution, to be confused. He questioned whether an Internal Rate of Return (IRR) of 20%, used by BNP Paribas in their assessment, was reasonable, without bringing forward any evidence to justify such a claim. An IRR of 20% is quite common for a development of such complexity as that proposed for the Shell Centre site. He also questioned the average sales figure per square foot used by the Applicants in their assessment and the sales value used by BNP Paribas as a sensitivity test. He did produce evidence but some of this confirmed the figures used to assess the scheme and some was from a source that was used to market and promote schemes to investors, rather than figures used to assess development viability" (emphasis supplied).
Conclusion