J Murphy & Sons Ltd v Johnston Precast Ltd (Formerly Johnston Pipes Ltd) [2008] EWHC 3024 (TCC) (10 December 2008)

J Murphy & Sons Ltd v Johnston Precast Ltd (Formerly Johnston Pipes Ltd) [2008] EWHC 3024 (TCC) (10 December 2008)

A binding contract existed between Murphy and JP for supply of GRP pipes; JP's exclusion clauses were subject to UCTA and not effective to exclude liability for breach causing the burst; JP owed a duty of care and breached it, causing Murphy's loss; Murphy is entitled to recover the sums paid to Thames Water and arbitration costs from JP.

Citation
[2008] EWHC 3024 (TCC)
Parties
Claimant: J Murphy & Sons Limited; Defendant: Johnston Precast Limited
Jurisdiction
England and Wales
Judgment Date
10 December 2008
Procedural Posture
TCC Action for Damages / Final Judgment After Trial
Outcome
Claim allowed
Legal Topics
Formation of Contract, Battle of the Forms, Unfair Contract Terms Act 1977, Duty of Care, Causation, Breach of Contract
Contract Law Tort Law Construction Law Formation of Contract Battle of the Forms Unfair Contract Terms Act 1977 Duty of Care Causation +1 more

Case Brief

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Parties

J Murphy & Sons Limited

Claimant

Johnston Precast Limited

Defendant

Procedural Posture

TCC Action for Damages / Final Judgment After Trial

Legal Issues

  1. 1 Whether a contract existed between Murphy and JP
  2. 2 Applicable terms of contract and exclusion under UCTA
  3. 3 Existence and scope of JP's duty of care

Ratio Decidendi

A binding contract existed between Murphy and JP for supply of GRP pipes; JP's exclusion clauses were subject to UCTA and not effective to exclude liability for breach causing the burst; JP owed a duty of care and breached it, causing Murphy's loss; Murphy is entitled to recover the sums paid to Thames Water and arbitration costs from JP.

Court Disposition

Claim allowed

Orders

  • JP to pay Murphy £4,170,000 in damages
  • JP to pay Murphy £270,000 in arbitration costs