The recent TCC case of Costain v Haswell highlights the
difficulties that may be faced when a party attempts to recover
prolongation costs.
Costain's case, in a nutshell, was that, due to negligence
on the part of consulting engineer Haswell, the foundation designs
for two new structures at a Water Treatment Works had to be changed
at a late stage, causing Costain additional direct cost and also
delay to those works, which were being undertaken by Costain on a
design and build basis for United Utilities Water Ltd, along with
numerous other structures on the same site.
Costain's allegations of negligence against Haswell were
accepted by the judge after hearing the expert evidence, but in its
claim for damages, in particular the recovery of the costs of
prolongation of the works due to delay resulting from the need to
redesign, failed for want of proof. Instead, Costain had to adopt
its opponent's case on the effect of the delay, leading to a
much diminished recovery.
