Offer-Hoar & Ors v Larkstore Ltd & Ors [2005] EWHC 2742 (TCC) (02 December 2005)

Offer-Hoar & Ors v Larkstore Ltd & Ors [2005] EWHC 2742 (TCC) (02 December 2005)

Larkstore can recover for breach of contract under the assignment from Starglade, as it had a genuine commercial interest and the assignment was not champertous. However, Larkstore cannot recover in tort for economic loss as no cause of action in tort was capable of being assigned. Technotrade owed a duty of care to the Claimants (neighbouring property owners) for physical damage, but did not owe a duty of care to Larkstore for economic loss. Technotrade owed a duty to Larkstore only in relation to ensuring the development did not cause physical damage to adjoining property owners.

Citation
[2005] EWHC 2742 (TCC)
Parties
Claimant: Gordon Offer-Hoar; Claimant: Mrs Offer-Hoar; Claimant: Mrs Ann P Henderson; Claimant: Michael Guy; Claimant: Mary Guy; Defendant/part 20 Claimant: Larkstore Limited; Defendant: Bess Limited; Part 20 Defendant: Technotrade Limited
Jurisdiction
England and Wales
Judgment Date
02 December 2005
Procedural Posture
Civil / Judgment on Preliminary Issues
Outcome
Preliminary issues determined as follows: Larkstore may recover for breach of contract under the assignment; Technotrade owed a duty of care to the Claimants; Technotrade owed a duty of care to Larkstore only in relation to physical damage to adjoining property owners, not for economic loss.
Legal Topics
Assignment of Contractual Rights, Duty of Care, Economic Loss, Nuisance, Negligence, Contribution, Professional Negligence
Contract Law Tort Law Property Law Construction Law Assignment of Contractual Rights Duty of Care Economic Loss Nuisance +3 more

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Parties

Gordon Offer-Hoar

Claimant

Mrs Offer-Hoar

Claimant

Mrs Ann P Henderson

Claimant

Michael Guy

Claimant

Mary Guy

Claimant

Larkstore Limited

Defendant/part 20 Claimant

Bess Limited

Defendant

Technotrade Limited

Part 20 Defendant

Procedural Posture

Civil / Judgment on Preliminary Issues

Legal Issues

  1. 1 Whether Larkstore can recover losses by operation of the assignment from Starglade
  2. 2 Whether Technotrade owed a duty of care to the Claimants (neighbouring property owners)
  3. 3 Whether Technotrade owed a duty of care to Larkstore

Ratio Decidendi

Larkstore can recover for breach of contract under the assignment from Starglade, as it had a genuine commercial interest and the assignment was not champertous. However, Larkstore cannot recover in tort for economic loss as no cause of action in tort was capable of being assigned. Technotrade owed a duty of care to the Claimants (neighbouring property owners) for physical damage, but did not owe a duty of care to Larkstore for economic loss. Technotrade owed a duty to Larkstore only in relation to ensuring the development did not cause physical damage to adjoining property owners.

Court Disposition

Preliminary issues determined as follows: Larkstore may recover for breach of contract under the assignment; Technotrade owed a duty of care to the Claimants; Technotrade owed a duty of care to Larkstore only in relation to physical damage to adjoining property owners, not for economic loss.