A woman with "severe vertigo" won a legal fight after objecting to the offer of a 16th-floor council flat.
The Court of Appeal said a local authority official made a "perverse" decision when concluding that the flat in Maida Vale, central London, was "suitable".
Three judges had been told, at a hearing in London, that the woman's husband took legal action against Westminster City Council after failing to persuade staff to offer a flat on the ground or first floor.
An official who dealt with the case had thought that the woman would settle "in time", the court heard.
But judges were told that the woman had "severe vertigo" and had suffered a panic attack and collapsed when visiting the flat.
And they said the official had not given "proper weight" to medical evidence.
The woman was not identified in a written Court of Appeal judgment published on Wednesday.
Her husband had appealed after a county court judge ruled in the council's favour.