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ARTICLE · 17 NOVEMBER 2015

Fitness For Purpose

Fenwick Elliott LLP
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As Karen Gidwani explains fitness for purpose is a phrase often used in everyday language in relation to a service or a product that is not working as expected or desired. In construction contracts, however, the concept of fitness for purpose has its own body of case law and analysis, and the effect of including a fitness for purpose clause in a construction contract can be draconian.

United KingdomReal Estate and Construction

As Karen Gidwani explains fitness for purpose is a phrase often used in everyday language in relation to a service or a product that is not working as expected or desired. In construction contracts, however, the concept of fitness for purpose has its own body of case law and analysis, and the effect of including a fitness for purpose clause in a construction contract can be draconian. As some standard forms of contract (in particular FIDIC) include such clauses it is important for contracting parties to be aware of the existence of such a clause and its potential effect.

Fitness for purpose – the starting point

Meaning

It is commonly understood that the effect of a fitness for purpose obligation is to impose a duty of result. Accordingly, if a warranty is given that particular works or design will be fit for its intended purpose then the contractor or designer (or design and build contractor) will be held to that obligation, regardless of the reason why the

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