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technicalUK · England & WalesDifficulty: expert

Charge is Penalty Not Genuine Pre-Estimate

Post-Beavis, charges must be a genuine pre-estimate of loss or legitimate interest in performance. Disproportionate charges may still be unenforceable as penalties.

Legal basis

ParkingEye v Beavis [2015] UKSC 67; Cavendish Square Holding BV v Makdessi [2015] UKSC 67.

How to identify this in your case

Challenge where charge is grossly disproportionate to any conceivable loss or legitimate interest.

Sample appeal wording

While ParkingEye v Beavis established that parking charges up to £85 (now £100 under the Code) are generally enforceable, the charge must still represent a genuine pre-estimate of loss or protection of legitimate interest. The charge of £[AMOUNT] for [DESCRIBE MINOR INFRINGEMENT] is wholly disproportionate. The operator has suffered no loss or, at most, minimal loss of [£X for lost parking fee]. A charge exceeding this by [X] times cannot be a genuine pre-estimate and remains an unenforceable penalty.

Replace [PARKING DATE], [NtK DATE] etc. with your own dates before sending.

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Sources

  • ParkingEye v Beavis [2015] UKSC 67

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