ABSTRACT

This chapter considers the recovery of damages in relation to certain individual torts that are particularly liable to arise out of construction projects. In respect of claims arising out of physical damage, an important point is to be noted where physical damage arises out of defects in buildings or chattels namely that the claimant must establish that there has been no reasonable opportunity for intermediate inspection – ie that the defect complained about is latent. There is an onus of proof on a claimant to show that the damage resulted from the defendant's breach of duty. Many of the leading decisions on the law of tort over the last 20 years have concerned the extent to which the courts will recognise a duty to avoid economic loss. The courts have been cautious in imposing liability for economic loss because of the potential for parties being found liable for large and unpredictable losses.