The Defective Premises Act 1972 is a relatively short piece of legislation. However, its importance should not be overlooked when considering residential building works, ‘new build’ properties or refurbishment and extension of existing homes. The Building Safety Act 2022 has made some significant changes to this legislation which has provided additional protection to homeowners outside of the usual contractual periods of liability.
An important point to note is that the duties and obligations imposed by the Defective Premises Act 1972 cannot be excluded or restricted and sit alongside any contractual obligations the parties have agreed between themselves.
This article explores the Defective Premises Act 1972, highlights the changes made by the Building Safety Act 2022 and what consultants and developers will need to consider.
The Act says:
“A person taking on work for or in connection with the provision of a dwelling (whether the dwelling is provided by the erection or by the conversion or enlargement of a building) owes a
Duty-
to see that the work which he takes on is done in a workmanlike or, as the case may be, professional manner, with proper materials and so that as regards that work the dwelling will be fit for habitation when completed.”
There are a number of points to draw from this provision:
Defects concerning lighting, power, drainage, sanitation and water supply are further examples of the types of defect which could meet the threshold, but it will depend on the facts of each case.
A defect can render a dwelling unfit for habitation even if it can be remedied at a relatively modest cost. The general test is that a dwelling will be fit for habitation if it can be occupied for a reasonable time without risk to the occupants’ health and safety, or without undue inconvenience or discomfort.
Prior to the introduction of the Building Safety Act 2022, a claim under the Defective Premises Act 1972 could be brought for up to six years from when the work was completed. However, if the defect was repaired the six year period would start again. The Building Safety Act significantly increased this limitation period, as explained below.
The Building Safety Act significantly expanded the scope of the Defective Premises Act 1972 to cover refurbishment work to existing dwellings, providing it is done in the course of a business, whereas previously it only applied to ‘new builds’.
It also changed the limitation period, the time period in which a potential claimant must bring their claim, to the following:
The retrospective extension of the limitation period to 30 years has meant that claims relating to work in respect of new dwellings undertaken as far back as the early 1990s, which previously would have been time barred, can now be pursued. This presents significant issues for those defending potential claims as:
Developers might wish to consider their portfolios and consider whether there are any historical claims which could now be pursued, which would previously have been ‘time barred’. However, the new provisions do not apply to any claim which has been settled or was subject to final determination by a court or arbitrator.
In light of the significant increase in potential liability, developers should:
Please visit our Building Safety Hub for more information on the Building Safety Act 2022.
Our construction and infrastructure team can advise developers, subcontractors, architects, structural engineers and other professional construction consultants, as well as building owners, homeowners and leaseholders, in relation to bringing and defending claims under the Defective Premises Act 1972.
For more information, please contact Sian Barrett or Mark Manning.
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