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Building Law Monthly

Collateral warranty held not to be a construction contract

In Toppan Holdings Ltd and Abbey Healthcare (Mill Hill) Ltd v Simply Construct (UK) Ltd [2021] EWHC 2110 (TCC) Martin Bowdery QC, sitting as a Deputy Judge of the High Court, held that a collateral warranty given by the defendant to one of the claimants was not a construction contract for the purposes of s104 of the Housing Grants, Construction and Regeneration Act 1996 with the consequence that the claimant did not have a right to refer a dispute between the parties to adjudication. The critical factor leading to the conclusion that the contract was not a construction contract was that the works had been carried out, and defects in the works rectified, prior to the execution of the collateral warranty.

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