County council wins case against housing developer
Warwickshire County Council has this week won a legal dispute with a housing developer.
Pimlico Homes Limited was found guilty for failing to comply with the Advance Payments Code under the Highways Act 1980.
The case, brought by Warwickshire County Council, came before the Rugby Magistrates on Monday 3 December.
The prosecution related to Pimlico Homes’ residential development off Malthouse Lane, Earlswood.
Warwickshire County Council served notice on Pimlico Homes in January 2007 requiring them to either pay the amount stated in the notice or secure a bonding arrangement for the amount.
The sum reflected the amount it would costs the county council to complete the new road serving the development to the standard required if the developer failed to do so. The aim of the Advance Payments Code is to protect house purchasers and Council Tax payers against any future road charges that could result in the event of the developer failing to complete building the road.
The Advance Payments Code applies equally to roads which are built as public ones and those which the developer intends to remain private, as in this case.
Pimlico Homes only secured a bond after the council had given the company notice that it had commenced criminal proceedings. By this stage the development was almost completed.
The court fined Pimlico Homes £250 and ordered them to pay the council’s costs of £1000.
A spokesperson for county council said: “This result sends out a message to all other developers that the council will take action against those developers who fail to secure bonding arrangements on new housing developments.”