Morgan Sindall Construction and Infrastructure Limited v Capita Property and Infrastructure (Structures) Limited & Anor.
[2023] EWHC 166 (TCC)
Jenni Glover & Anor v Fluid Structural Engineers & Technical Designers Limited
15 December 2023
[2023] EWHC 3219 (TCC)
High Court
Homeowners sued their structural engineers for extra costs after building work went wrong. The engineers tried to get the case thrown out, but the judge said there were important questions that needed to be answered at a full trial. The judge decided whether the engineers should pay for the extra costs and for the money the homeowners had already paid them.
Key Facts
- •Claimants (homeowners) hired Defendant (structural engineers) for a property refurbishment project.
- •Damage occurred during the works, leading to delays and disputes.
- •Claimants sued Defendant for breach of duty, claiming costs incurred due to inadequate site visits, reporting, and record-keeping.
- •The claim includes costs of investigations, litigation, and expert fees, as well as repayment of fees paid to the Defendant.
- •The Defendant applied for strike-out or summary judgment.
Legal Principles
A claim can be struck out if it discloses no reasonable grounds, or summary judgment granted if the claimant has no real prospect of success.
CPR r3.4(2)(a), CPR r24.2(a)(i), CPR r24.2(b)
There is no difference between the tests for strike-out and summary judgment applications.
Hamida Begum v Maran (UK) Limited [2021] EWCA Civ 326
The purpose and scope of duty principle, as explained in Manchester Building Society v Grant Thornton UK LLP [2021] UKSC 20, is applied to determine the recoverability of losses.
Manchester Building Society v Grant Thornton UK LLP [2021] UKSC 20
Repayment of professional fees can only be claimed if the services were not provided at all or were worthless.
Multiplex Constructions (UK) Ltd v Cleveland Bridge UK Ltd [2006] EWHC 1341 (TCC)
Outcomes
Defendant's application for strike-out or summary judgment dismissed.
The court found that the claimants had an arguable case on both the costs claim and the repayment claim. The application of the purpose and scope of duty principle and the assessment of whether services were worthless are fact-sensitive issues requiring a trial.
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