{"id":434236,"date":"2021-03-22T09:15:33","date_gmt":"2021-03-22T09:15:33","guid":{"rendered":"https:\/\/www.constructionnews.co.uk\/?p=434236"},"modified":"2021-03-22T09:07:51","modified_gmt":"2021-03-22T09:07:51","slug":"multiplex-fails-in-5m-legal-claim-over-100-bishopsgate","status":"publish","type":"post","link":"https:\/\/www.constructionnews.co.uk\/contractors\/multiplex\/multiplex-fails-in-5m-legal-claim-over-100-bishopsgate-22-03-2021\/","title":{"rendered":"Multiplex fails in \u00a35m legal claim over 100 Bishopsgate"},"content":{"rendered":"

Multiplex\u2019s attempt to sue the insurer of a failed design consultant that worked on 100 Bishopsgate for \u00a35m has been struck down in court.<\/p>\n

The case concerned the construction of the original slip-form rig built on the City of London skyscraper. Concrete specialist Dunne collapsed in mid-2016<\/a> after it had built seven of the 37 storeys of the core. After taking over the job, replacement contractor Byrne Bros<\/a>\u00a0found the rig was unsafe and said it needed to be replaced.<\/p>\n

Multiplex sought \u00a312m to cover the cost of remedial works, delay, disruption and consequential losses. It filed a claim in October 2019 against Dunne, BRM Construction \u2013 which had been Dunne\u2019s consultant on the slip-form rig \u2014 and RNP, a firm hired by Dunne to ensure the design met British safety standards. RNP went into administration in October 2018 and Multiplex took up its case with RNP\u2019s insurer, Argo.<\/p>\n

Multiplex had already obtained judgements against Dunne and BRM by default because they failed to defend against the claims. However Dunne and Dubai-based BRM did not have insurance.<\/p>\n

Multiplex attempted to pursue the case against Argo, with the maximum amount it could have potentially won from them standing at \u00a35m, which was the value of RNP\u2019s insurance policy.<\/p>\n

Argo called for a preliminary hearing so a judge could determine whether Multiplex had the right to sue RNP, and therefore Argo. Multiplex claimed that, even though it had not contracted directly with RNP, it was still owed a \u201cduty of care\u201d by the design consultant. It also claimed that a certificate RNP issued to Dunne, which was then passed to Multiplex, constituted a warranty.<\/p>\n

But Judge Peter Fraser ruled against both points. On the contractual \u2018duty of care\u2019 issue, he said: \u201cThis construction project, in common with very many (if not most), had a large number of participants and a detailed and careful contractual structure between the employer and Multiplex (on the terms of the main contract) and Multiplex and Dunne (on the terms of the subcontract).<\/p>\n

\u201cThe relationship between Dunne and RNP sat entirely separate from that contractual matrix.\u201d He said that to assume RNP had direct responsibility to Multiplex would have \u201cshort circuited\u201d the contractual relations in place.<\/p>\n

Justice Fraser also said there was nothing in the certificate that constituted a warranty to Multiplex.<\/p>\n

He added if RNP had been told that by checking the design for Dunne, it would also assume unlimited responsibility to Multiplex, it would not have accepted the job, or the \u201cvery modest level of fee\u201d it received for it. RNP had quoted Dunne \u00a33,978 for the work.<\/p>\n

In December 2017, former Dunne boss Gordon Dunne was ordered to repay Multiplex \u00a34m that it had advanced the specialist<\/a> before it collapsed.<\/p>\n

Multiplex has been contacted for comment.<\/p>\n","protected":false},"excerpt":{"rendered":"

Multiplex\u2019s attempt to sue the insurer of a failed design consultant that worked on 100 Bishopsgate for \u00a35m has been struck down in court. The case concerned the construction of the original slip-form rig built on the City of London skyscraper. Concrete specialist Dunne collapsed in mid-2016 after it had built seven of the 37 …<\/p>\n","protected":false},"author":26091,"featured_media":376637,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"ep_exclude_from_search":false,"footnotes":""},"categories":[578,541],"tags":[],"class_list":["post-434236","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legal","category-multiplex","issue-26-march-2021"],"yoast_head":"\nMultiplex fails in \u00a35m legal claim over 100 Bishopsgate | Construction News<\/title>\n<meta name=\"description\" content=\"Multiplex\u2019s attempt to sue the insurer of a failed design consultant that worked on 100 Bishopsgate for \u00a35m has been struck down in court. 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