Developer’s Liability For Environmental Damage Arising From Construction Work

The Finnish Supreme Court has ruled on environmental liability in four different cases after the Act on Compensation for Environmental Damage (1994/737) (the "Act") came into effect in 1995. Three of the cases concerned construction works. The latest ruling of the Supreme Court is from the beginning of 2012, case KKO 2012:29, in which the Court held the contractor solely liable for the environmental damage caused by its activities. The Supreme Court also gave a similar ruling in 1999 (KKO 1999:124), again holding the contractor solely liable for the environmental damage. Nevertheless, the question of allocation of the liability regarding environmental damages remains unclear because the Supreme Court has also held the developer liable in the case KKO 2001:61.