Parkwood Leisure Ltd v Laing O’Rourke Wales and West Ltd
Citation: All ER (D) 221 (Aug); [2013] CILL 3413; [2013] BLR 589; 150 Con LR 93; [2013] EGLR 6
Nature of case:
The Court was required to determine whether a collateral warranty was a “construction contract” within the meaning of section 104 of the Housing Grants, Construction and Regeneration Act 1996. The issue had not previously been considered by the courts despite the Act having been in force for 15 years.
The warranty in question was given by Laing O’Rourke to Parkwood, the tenants of the Cardiff International Pool, concerning Laing O’Rourke’s construction of that facility. At the time that the warranty was given the project was largely complete but practical completion had not yet been certified. There was therefore some further work to be done, as well as the remedying of any post PC defects which would necessarily take place during the tenant’s occupancy of the site.