UK Supreme Court's Ruling in Abbey Healthcare (Mill Hill)
Ltd v Augusta 2008 LLP (formerly Simply Construct (UK) LLP) [2024]
UKSC 23.
On 9 July 2024, the UK Supreme Court delivered judgment in a
case which provides useful guidance as to whether a collateral
warranty should be regarded as a "construction contract"
for the purposes of adjudication.
The case was looking at a "construction contract"
within the meaning of section 104(1) of the Housing Grants,
Construction and Regeneration Act 1996 (the "UK
Act") but of course it is equally of interest to
lawyers considering the same question under the Irish Construction
Contracts Act 2013.
The UK Supreme Court ultimately determined that, in most cases,
a collateral warranty will not be a construction
contract for the purposes of the Act, thereby overruling the
decision in Parkwood Leisure Ltd v Laing O'Rourke Wales and
West Ltd ("Parkwood"), which had
been a statement of the law in this area for over 10 years.
