Interpreting Limitation And Exclusion Of Liability Provisions

Last month the Judge in charge of the Technology and Construction Court handed down Judgment in Persimmon Homes Ltd & others v Ove Arup & Partners Ltd & another [2015] EWHC 3573 (TCC).  The Judgment concerned in part the interpretation to be given to limitation and exclusion of liability provisions within Arup appointments/warranties. It is a useful summary of well established principles concerning how the Courts approach interpreting such provisions.  It also illustrates the increased weight given by the Courts, when they decide interpretation disputes, to the parties' decisions on risk allocation.

Summary of the Facts

Arup advised a consortium that developed a site at Barry Docks in Cardiff.  When site works commenced asbestos was discovered.  The consortium brought a claim against Arup for breach of contract and negligence – it being alleged that Arup had failed to warn the consortium of the asbestos.