Legal updates

Marriott Hotels to be fined nearly £100 Million for GDPR breaches – a warning for corporate buyers

Hot on the heels of the £139M fine for British Airways comes confirmation from the ICO that it has proposed a financial penalty of £99.2M for breach of GDPR arising out of a data security breach reported in November 2018.

The end of Opco/Propco structures in the hotel industry?

In the UK market, the tax regime has been an important driver behind Opco/Propco structures. Until now, it has normally been tax efficient for the property interest to be held in an offshore company (the Propco) and leased to an onshore operating entity (the Opco) for the simple reason that any growth in value of the underlying property has then escaped UK tax. From 6 April 2019 that is going to change. As from that date, the UK is extending the scope of capital gains tax so that increases in the value of property after that date will fall into charge to UK tax on a sale or other disposal of the land even if the owner of the property is offshore.

Case Update: Using a franchisor’s name without a franchise agreement

The recent case of Ghias v (1) Grill’O Xpress Ltd (2) Malik considered the compensation payable where a franchise brand is used after the termination of the franchise agreement without the permission of the brand owner.

No way, CVA: how to downsize without entering into a Company Voluntary Agreement

The CVA has been this year’s buzzword, but there are other ways to slim down a restaurant estate, says real estate partner Matthew Williams, who was recently invited by BigHospitality to discuss the issues involved.

Marriott Hotels breach – UK regulators involved

UK data protection regulator the ICO has confirmed that it has received notification from Marriott Hotels regarding the widely reported hack (said to involve 500M consumers) involving the Starwood reservation system. The ICO says only that it is ‘making enquiries’.

Restrictions in lease agreements: Competition law matters

Alex Haffner, Competition Partner, discusses a recent case in which Heathrow Airport Limited was fined by the Competition and Markets Authority for lease restrictions which restricted a tenant’s freedom to set parking prices on a hotel property. The case is an important reminder that land agreements need to comply with the competition law rules and that parties can easily be caught out by restrictions which haven’t previously been considered from a competition law perspective.

No preference for European migrants post-Brexit?

Immigration partner Kelly Whiter discusses the release of the Migration Advisory Committee’s long awaited final report on EEA Migration in the UK.

Partnering with celebrity chefs: How to get it right first time

Hotels have long recognised the value that on-site restaurants can bring to their offering.  They are increasingly joining forces with celebrity chefs to forge partnerships aiming to run restaurants of distinction and culinary sophistication. Such ventures work best when they are framed as a genuine partnership, designed to ensure that the joint brand is worth […]

Building safety, flammable cladding, and the Hackitt report

The fire at Grenfell Tower that took place in June 2017 resulted in 71 deaths and a large number of further injuries. Following the fire a number of inquiries and reviews were set up, including an independent review of fire safety and the current Building Regulations. This review was led by Dame Judith Hackitt and […]

Trespass in the sky

There is a basic principle in English land law that you own the airspace above your property and all of the ground below: ‘up to the heavens and down to the depths’. As a result, anyone entering your airspace (or mining underneath your property) without consent will almost always be committing a trespass. This is […]