Yorkie wrote:
John,
I wonder you do keep saying this about measuring demand, I know you get it from case law but I wonder if you can expand.
Because of the 1985 Transport act and in particular section 16 of that act Councils have had to measure public demand in some way in order to retain control on Taxi numbers. I know you know that and so do most if not all of the people who subscribe to this forum.
In the early years of the 1985 legislation councils were unsure of how to measure demand and it was left to the courts to guide them in that respect. You and most others also know that.
The very first cases surrounding unmet demand were settled on the basis that any council who wasn't sure of demand should issue licences until it was sure. The most famous protagonist in that line of thinking was Justice Nolan. You and most others probably know that too.
The first case to establish that a council could defer applicants was the Fareham case in 1986. The Judgement in that case made its way into circular 3/85. The case was ex parte B & J World (Hamiltax) 26 June 1986 Portsmouth Crown Court Judge Whitley presiding.
Although the Judge found in Hamiltax favour it was only a partial victory because the council presented three options to the court. It should be known at this stage that Hamiltax had asked for 16 licenses.
The third option that the council presented to the court was as follows.
"That it grants a proportion of the licences and defers consideration of the remainder until the effect of that action had been assessed. It also went on to say, "or phase the removal of quantity control over a number of years. This would cushion the effects on the trade and allow the problems, which could arise to be tackled on a gradual basis".
The Judge allowed the third option and suggested that four licenses be issued until the effect of those licenses had been assesed
That case offered those councils that still wanted to restrict numbers a lifeline.
In 1987 there was an appeal against the decision of Guildford Borough council to depart from the findings of a Consultants report on unmet demand. It was found that demand at certain times was unmet and that 12 licences would alleviate that demand. Guildford departed from the findings and only issued three licenses. The fourth person on the waiting list appealed and said the council had no right to depart from the findings. Judge Lermon QC agreed and concluded the following.
A local Authority is obliged not to refuse applications unless it can be satisfied that there is no unmet demand. The result of the survey showed that there was an unmet demand, which could be met by the issue of about 12 licenses. The council did not have to issue 12 it would be right for them to perhaps issue nine or ten or some other number approximating to the recommendations.
The Judge took the view that by issuing only three plates the council had significantly departed from the survey reports recommendations.
The cases establishing a councils right to change its policy from one of restriction to no restriction was the Sawyer v Great Yarmouth case and the Gravesham association of licensed hackney carriage owners v Gravesham borough council. They both applied for judicial review of the respective councils decision to de limit. Both applications were refused.
On appeal Lord Justice Woolf, Bingham and Dillon rejected the appeal. Stating a council's policy of de restriction could not in itself be attacked as being irrational.
The most famous case that most people recognise is the Nolan case. Nolan had before him two opposing sides where one side wanted the council to issue an unlimited amount of licenses and the other side namely the local Taxi association wanted the exact opposite. In the middle of all this was reading borough Council.
Dennis Francis Egan on behalf of the local Taxi association and Anthony Patrick Sullman a local Private Hire Proprietor both for different reasons wanted to quash a decision by Reading Borough Council, made on January 28th 1986 to issue 30 licences by way of ballot. Reading voted to issue 30 new licences and to reserve the right to measure the effect of these licences, according to circular 3/85.
To cut a long story short Nolan concluded that paragraph 28 of circular 3/85 incorporated an erroneous view of the law. Mr Justice Nolan said that a Council who was not sure of demand should issue licences without limit of number until it was sure of demand. He also said that the 1985 act had made no provision for an interim period during which licensing Authorities might establish whether unmet demand existed.
There is more to the Nolan statement but I needn't say anymore.
The big daddy of cases which is the backbone of current established case law is the Wakefield case of
Ghafoor and thirteen others v Wakefield District council and the subsequent appeal, which followed establishing the present case law.
Mr Ghafoor and his associates appealed a decision of Wakefield Council to refuse them licenses.
The appeal was dismissed in the crown Court and it went to appeal in the High Court.
The case questioned the reasoning of Justice Nolan's view of Circular 3/85, which he said incorporated an erroneous view of the law.
Mr Justice Webster disagreed with Nolan and concluded that a Council who was not sure of demand had the right to advise itself in one way or another about the number of Taxis which would need to be licensed in order to meet all significant demand. And having granted licences up to that number, from refusing the next applicant or applicants after that number had been reached.
The Judgement is protracted and it lay's to rest two or three items, which are significant in their own right but are nevertheless, well established.
The Judgement also highlights a particular scenario that you have posed here and I will no doubt be referring to it in due course. I will let you digest the background as to how our current case law came about before I move on to your hypothetical scenario regarding an Authority similar to that of Halifax.
I suspect you already know all of the above but it is helpful if I write it down in order for people to see where I am coming from when I answer the pivotal points of your questions.
Best wishes
JD