URS Corporation Ltd (Appellant) v BDW Trading Ltd (Respondent)
Case ID: UKSC 2023/0110
Case summary
Issues
This appeal concerns how liability is allocated in circumstances where, as a result of allegedly negligent work undertaken by a consultant (the appellant), a property developer (the respondent) carries out remedial work on properties it no longer owns and in respect of defects for which it cannot be held liable due to the expiry of applicable limitation periods. Specifically, the appeal raises the following questions:
- In the circumstances set out above, has the respondent suffered actionable and recoverable damage that falls within the duty of care owed to it by the appellant?
- Do the retrospective extended limitation periods provided for by section 135 of the Building Safety Act 2022 apply (i) in the circumstances set out above, and (ii) to claims brought before section 135 came into force and are the subject of pending proceedings?
- Does section 1(1)(a) of the Defective Premises Act 1972 apply only to purchasers of properties, or does it also apply to commercial developers?
- Is the respondent entitled to bring a contribution claim against the appellant under section 1 of the Civil Liability (Contribution) Act 1978 notwithstanding that (i) there has been no judgment or settlement between the respondent and any third party, and (ii) no third party has asserted any claim against the respondent?
Facts
The respondent is a property developer who had engaged the appellant as a structural design consultant in connection with certain residential building developments (namely, the building of 12 tower blocks). In March 2020, the respondent brought a claim in negligence against the appellant in relation to structural design defects it had discovered in the developments. The respondent had discovered the defects after having sold the developments to third parties. It nonetheless performed remedial works to rectify the defects, the cost of which forms the basis of the losses the respondent claims against the appellant.
The Court of Appeal found in favour of the respondent in respect of Issues (1)-(4) above. The appellant now appeals to the UK Supreme Court.
Judgment appealed
Parties
Appellant(s)
URS Corporation Ltd
Respondent(s)
BDW Trading Ltd
Appeal
Justices
Lord Lloyd-Jones, Lord Briggs, Lord Sales, Lord Hamblen, Lord Leggatt, Lord Burrows, Lord Richards
Hearing start date
2 December 2024
Hearing finish date
5 December 2024