Steven Carey writes for Building Magazine on what routes contractors have to claim against cladding firms
Steven Carey, Partner and global Head of our Construction, Engineering and Projects Group, explores the options available to contractors who are currently facing cladding claims, as part of a regular series of articles for Building Magazine.
In the article, Steven explains that contracts who are facing cladding claims from property owners actually have more than one possible route to claim in turn against the manufacturers.
He explains that a new cause of action was created by section 149 of the Building Safety Act 2022 (BSA) enabling residential building owners or leaseholders to pursue claims against cladding suppliers for past defaults relating to their products. One limitation of this route, however, is that the person bringing a claim must have a relevant interest in the relevant building - this must be a legal or equitable interest in a residential building or any dwelling contained in a residential building).
However, many potential claimants no longer have or never had a “relevant interest” in the building that is the subject of potential claims. Steven therefore suggests the Civil Liability (Contribution) Act 1978, under which the contractor has a right to bring a contribution claim against another person (such as the cladding supplier) but only if that supplier is liable in respect of the same damage to the owner.
Steven argues: "Any claim involving section 149 of the BSA will require extensive factual investigation [...] Nevertheless, section 149 is a powerful tool for parties looking to share losses with cladding suppliers."
Read the full article in Building Magazine here.