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BHP Petroleum Ltd v British Steel Plc

30 November 2015

Citation: 2 All ER (Comm) 133; [2000] 2 Lloyds Rep 272 (Court of Appeal)

Nature of case: The claimants, BHP, brought an action for breach of contract against the defendants British Steel, claiming damages for loss of production due to alleged defects in pipework on the Liverpool Bay oil and gas production complex. The issues raised in the appeal were whether the alleged liability was excluded by a contractual time-limit, whether liability was capped at 15% of the contract price and whether certain items were excluded by contractual provision. The Court of Appeal uphold the contractual time-limit for the bringing of claims, while rejecting the capping of liability during the time period specified.  

The appeal was dismissed.