Attorney General v de Keyser’s Royal Hotel Ltd [1920] AC 508

Facts:
  • The claimants were the owners of a London Hotel that had been used by some members of the armed forces in World War One, and they thus sought reasonable compensation for this occupation
  • The defendants attempted to reject this claim, asserting that their duty to defend the realm, as per prerogative powers and the Defence of the Realm Act 1914, meant that they had no obligation to compensate the claimants

Issue:
  • Whether the Government's prerogative powers to protect the realm authorised them to evade statutory responsibilities

Held:
  • At first instance, the High Court found for the Attorney-General, but this was subsequently overturned by the Court of Appeal and by HoL
  • HoL held that the prerogative vested in the Crown and Parliament did not allow for the repossession of property from a citizen, unless the citizen was appropriately and reasonably compensated

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