Marks & Spencer has lost a long-running battle with its former landlord BNP Paribas to reclaim a proportion of rent paid on an office building in London.
In July 2011, M&S exercised a break clause in its lease for four floors of The Point building in Paddington, which it was due to occupy until 2018.
The leases came to an end on January 25 2012, however, M&S was forced to pay a full quarter’s rent and service charges from December 25 201, amounting to £1.1m. M&S subsequently launched legal action in an attempt to claw back a proportion of this payment.
In July 2013, the High Court ruled M&S was entitled to receive some funds back, but the decision was overturned in May 2014 after BNP Paribas appealed. M&S appealed this ruling.
Today, five Supreme Court judges unanimously dismissed M&S’s appeal. They said there was no clause in the lease obliging BNP Paribas to return apportioned rent in this case.
A spokeswoman for M&S said: “We are naturally disappointed with the outcome but accept the decision.”