Defective premises ruling likely to lead to increase in claims

Sheena Sood 2023

Whether developers are owed duties under the Defective Premises Act – a point long uncertain in the courts – has been clarified

A recent appeal court decision in the case of URS Corporation Ltd vs BDW Trading Ltd has shed some light on the vexed question of whether developers are owed duties under the Defective Premises Act 1972 (the DPA). 

Developer BDW appointed engineering firm URS to provide structural design services in relation to two residential developments. Practical completion occurred between March 2007 and February 2008, and BDW then sold the individual apartments.

In 2019 BDW discovered that there were structural defects in the developments, but by this time it no longer owned or had a proprietary interest in them. Nevertheless, it considered it had liability to the occupiers under the DPA pursuant to the individual contracts of sale. BDW therefore incurred costs of investigating and carrying out remedial works.

This content is available to REGISTERED users

You are not currently logged in.

LOGIN or REGISTER to access this story

Gated access promo

LOGIN or REGISTER for free access on selected stories and sign up for email alerts.

Take out a print and online or online only subscription and you will get immediate access to:

  • Breaking industry news as it happens
  • Expert analysis and comment from industry leaders
  • Unlimited access to all stories, including premium content
  • Full access to all our online archive

Get access to premium content subscribe today