Bloomberg LP v Malling Pre-Cast Ltd [2015] EWHC 2858 (TCC) (16 October 2015)

Bloomberg LP v Malling Pre-Cast Ltd [2015] EWHC 2858 (TCC) (16 October 2015)

Clause 6 of the Malling Warranty operates as a procedural bar to Bloomberg's enforcement of its rights after the cut-off date, not as an extinguishment of the underlying substantive right. Therefore, Malling cannot rely on the proviso in section 1(3) of the Civil Liability (Contribution) Act 1978 to bar contribution proceedings by Sandberg. Summary judgment and strike-out are refused.

Citation
[2015] EWHC 2858 (TCC)
Parties
Claimant: Bloomberg LP; First Defendant: Sandberg (a firm); Second Defendant: Sandberg LLP; Third Defendant: Buro Happold Limited; Third Party: Malling Pre-Cast Limited
Jurisdiction
England and Wales
Judgment Date
16 October 2015
Procedural Posture
Commercial Construction Dispute / Summary Judgment Application (part 20 Proceedings)
Outcome
Application for summary judgment and strike-out refused
Legal Topics
Collateral Warranty, Limitation Period, Contribution Proceedings, Civil Liability (contribution) Act 1978, Procedural Vs Substantive Bar
Contract Law Construction Law Civil Procedure Collateral Warranty Limitation Period Contribution Proceedings Civil Liability (contribution) Act 1978 Procedural Vs Substantive Bar

Case Brief

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Parties

Bloomberg LP

Claimant

Sandberg (a firm)

First Defendant

Sandberg LLP

Second Defendant

Buro Happold Limited

Third Defendant

Malling Pre-Cast Limited

Third Party

Procedural Posture

Commercial Construction Dispute / Summary Judgment Application (part 20 Proceedings)

Legal Issues

  1. 1 Whether clause 6 of the Malling Warranty bars contribution proceedings by other parties
  2. 2 Whether the Civil Liability (Contribution) Act 1978 applies to Malling
  3. 3 Whether the limitation clause extinguishes or merely bars Bloomberg's underlying right

Ratio Decidendi

Clause 6 of the Malling Warranty operates as a procedural bar to Bloomberg's enforcement of its rights after the cut-off date, not as an extinguishment of the underlying substantive right. Therefore, Malling cannot rely on the proviso in section 1(3) of the Civil Liability (Contribution) Act 1978 to bar contribution proceedings by Sandberg. Summary judgment and strike-out are refused.

Court Disposition

Application for summary judgment and strike-out refused

Orders

  • Malling's application for summary judgment and strike-out of Part 20 proceedings is dismissed
  • No declaration granted regarding contribution for damage after 28 August 2012