Citation: [2026] EWHC 2681 (TCC)
Following a judgment in June 2026 assessing the amount of Sto Germany's contribution for a BLO in a different project, the Court has today handed down a judgment between Mulalley v Sto dealing with the liability aspects of a default judgment where the claimant is seeking a BLO.
This case relates to the Gosport Towers development and follows the Court's judgment in Martlet Homes Limited v Mulalley & Co. Limited [2022] EWHC 1813 (TCC), where Mulalley was found liable for the defective cladding system.
The cladding system was supplied and manufactured by Sto. Therefore, Mulalley issued these contribution proceedings and, following Sto UK's administration, sought a BLO against Sto Germany.
This judgment is essential guidance for parties considering an application for default judgment when claiming a BLO. The court confirmed that, given the just and equitable requirement, it will generally only be appropriate to enter default judgment for damages to be assessed. The court is unlikely to enter default judgment for a sum sought by a BLO for a specific sum.
