Linklaters Business Services v McAlpine Ltd & Ors [2010] EWHC 2931 (TCC) (23 November 2010)

Linklaters Business Services v McAlpine Ltd & Ors [2010] EWHC 2931 (TCC) (23 November 2010)

The corrosion was caused by defective insulation and failure to maintain a continuous vapour barrier, breaching both contractual warranties and duty of care. Replacement of pipework was a necessary and reasonable remedial measure given the extent of corrosion and business risk. Limitation does not bar the tort claim against Southern.

Citation
[2010] EWHC 2931 (TCC)
Parties
Claimant: Linklaters Business Services; First Defendant: Sir Robert McAlpine Limited; Second Defendant: Sir Robert McAlpine (Holdings) Limited; Third Party: How Engineering Services Limited; Fourth Party: How Group Limited; Fifth Party: Southern Insulation (Medway) Limited
Jurisdiction
England and Wales
Judgment Date
23 November 2010
Procedural Posture
Commercial Construction Dispute / Final Judgment After Trial
Outcome
Claim allowed in part; liability established against McAlpine, How, and Southern; quantum assessed.
Legal Topics
Contractual Warranties, Negligence, Limitation, Causation, Quantum, Duty of Care, Remedial Works
Construction Law Contract Law Tort Law Contractual Warranties Negligence Limitation Causation Quantum +2 more

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Parties

Linklaters Business Services

Claimant

Sir Robert McAlpine Limited

First Defendant

Sir Robert McAlpine (Holdings) Limited

Second Defendant

How Engineering Services Limited

Third Party

How Group Limited

Fourth Party

Southern Insulation (Medway) Limited

Fifth Party

Procedural Posture

Commercial Construction Dispute / Final Judgment After Trial

Legal Issues

  1. 1 Whether McAlpine and How breached contractual warranties
  2. 2 Whether Southern breached duty of care in tort
  3. 3 Whether limitation bars negligence claims against Southern

Ratio Decidendi

The corrosion was caused by defective insulation and failure to maintain a continuous vapour barrier, breaching both contractual warranties and duty of care. Replacement of pipework was a necessary and reasonable remedial measure given the extent of corrosion and business risk. Limitation does not bar the tort claim against Southern.

Court Disposition

Claim allowed in part; liability established against McAlpine, How, and Southern; quantum assessed.

Orders

  • Defendants to pay damages for cost of replacement pipework and associated remedial works.
  • Contribution orders between defendants and third parties as per liability apportionment.