Building Law Monthly
Assignment, subsequent owners and remoteness of damage
Orchard Plaza Management Co Ltd v Balfour Beatty Regional Construction Ltd [2022] EWHC 1490 (TCC)
In
Orchard Plaza Management Co Ltd v Balfour Beatty Regional Construction Ltd [2022] EWHC 1490 (TCC), Morris J held that the cost of repair incurred by the claimant assignee was within the reasonable
contemplation of the defendant contractor as being a serious possibility at the time at which the defendant executed the Collateral
Warranty, which was subsequently assigned to the claimant. It was also held that, even if the loss claimed by the claimant
was otherwise too remote, the effect of cl 12.3 of the Collateral Warranty was to preclude the defendant from contending that
the loss was too remote.