Tony Gregory (Dublin Central, Independent)
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Question 561: To ask the Minister for Justice, Equality and Law Reform if his Department will assist a person (details supplied) in Dublin 9; if he will take action to resolve the general ground rent issue; and if he will make a statement on the matter. [25253/07]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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In relation to ground rents in general, the law already provides for a statutory scheme for the acquisition of the fee simple in dwelling houses which is set out in the Landlord and Tenant (Ground Rents) (No. 2) Act 1978. Part III of that Act provides a special procedure, operated by the Property Registration Authority, whereby a person may acquire the fee simple in their dwelling house. Under this legislation I am also precluded from any involvement in specific cases.

Ground rents legislation makes clear that when the lease has only a few years to run or has expired the purchase price of the fee simple increases. It also means that the rent, were it to continue, will be substantially greater than previously existed. The principle inevitably involved in the legislation is one of compensation that is reasonable in all the circumstances. A legal challenge to the constitutionality of certain provisions of existing ground rents legislation was heard in the High Court during 2005. The Court's judgment upholding the constitutionality of the legislation was delivered in early 2006 but it has been appealed to the Supreme Court. It is likely that the appeal will be heard later this year.

Operation of the law in relation to ground rents continues to be reviewed in my Department. There are no proposals for change pending the outcome of the appeal that I have mentioned.