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Design Liability 
Lecture week 4
Who are designers 
• Qualified Person: 
– Professionals 
• Architects 
• Engineers 
– Contractors 
– Subcontractors 
– Suppliers
Contractual liability 
• Depend upon the contractual 
agreement 
– Standard form contract-PAM or PWD 
– Conditions of appointment produced by 
professional bodies
Duty to use reasonable care and 
skill 
Bolam v Friern Hospital Management Committee 
Per Mc Nair J: 
“Where you get a situation which involves the use of 
special skill or competence…the test…is the standard of 
the ordinary skilled man exercising and profession to 
have that special skill. A man need not possess the 
highest expert skill; it is well established law that it is 
sufficient if he exercise the ordinary skill of an ordinary 
competent man exercising that particular art”.
Liabilities of Designers 
• Architects, engineers, surveyors 
– The liability may commence from the inception of the project 
1) Have to make clear of objectives of client. 
Stormont Main Working Men’s Club v J Roscoe Mine 
Partnership 
Held: If the client has expressed his instructions in terms which 
leave the architect in doubt as to what his purpose is, the 
architect has a duty to ascertain what is the purpose he is 
instructed to achieve.
2) Responsibility to make sure that site, contours, 
geology and dimensions are appropriate. 
Moneypenny v Hartland 
The engineer relied upon a third party as to the 
quality of the ground and did not carry out drilling or 
the required test. 
Held: In the absence of proper delegation, the 
designer is not entitled to rely upon the work of other.
The client will be personally liable if the designer is not a 
qualified person. 
Segar Restu (M) Sdn Bhd v Wong Kai Chuan 
The def had mistakenly built the building on adjoining land to 
the site. He relied upon a registered building draftsman and 
not a qualified surveyor or architect. 
Held: The plf is entitled for damages as def had trespass his 
land.
• Generally, designers should not delegate the 
responsibility unless there is a formal delegation. 
Moresk Cleaners v Hicks 
The contractors (plf) had agreed to carry out excavation 
work for the HK govt under the HK PWd forms with BQ. 
Due to adverse ground conditions, the engineers gave eot 
which was more than doubled the time for completion but 
the plf also claimed to be entitled for adjusted rates and 
additional sums of payment to cover some unforeseen 
conditions. The govt. contended that the plf was bound to 
them and that the engineer could not adjust the rates. 
P.C: The The plf has the right to claim the additional sums 
based upon the adjusted rates as it was certified by the 
engineer (whom had been formally delegated with the task 
of design by the client).
Thomas Saunders Partnership v Martin Harvey 
The plf (architect) was appointed by the client to design a 
new office premises which include a 24- hour computer 
centre. The plf had formally delegated part of the design 
work to the def (the contractor) and was given a written 
warranty by the def. Due to some design errors, the 
architect had to compensate the client. The plf claimed 
that def is liable to compensate them for the payment 
they had made to the client. 
Held: The plf is entitled to recover against the def in 
respect of the written assurance.
Contractors 
• Where the contractors are not 
involved in design and build , their 
design liability will limited to : 
1) Temporary work- PAM cl 1.2 
2) Permanent works expressly stated in the 
contract document, to be contractor’s design.- 
Pam cl.1.3
University of Glasgow v William Whitfield and 
John Laing Construction 
Contractor owe no general duty to the client 
tp warn of design deficiencies. The duty 
only arise where the contractually actually 
knows of the practical weaknesses.
Brunswick v Nowlan 
The resp (def), engaged an architect to design a house. 
The app was the main contractor. After construction, the 
roof leaked badly due to basic design inadequacies. The 
resp sued the app for the resp for the defect. 
Supreme Ct of Canada per Ritchie J: 
“ The app carried out the work of building the house 
without supervision of any engineer or the assistance of 
the architect and I think that the appellant must therefore 
be taken to have accepted the fact that the resp were 
relying entirely on its skill and attention as a contractor… 
in my opinion, a contractor of this experience should 
have recognized the defects in the plans…I think the 
contractor was under a duty to warn the resp of the 
danger inherent in executing the architect’s plan.
Sub contractors/suppliers 
• Nominated SC/SP 
If the the NSC is made responsible for the design 
work, the main contractor (who is contractually 
responsible to the client), will have recourse to the 
NSC for any inadequacies. 
- It is a common practice, where NSC is requested to 
give formal warranties to the client, which create a 
contractual relationship with the client.
Greater Nottinghamshire Co-operative Society v 
Cementation Piling and Foundation Co 
The NSC entered into a direct collateral warranty for design 
of their piling work with the plf (client). When the plf work 
caused loss, the sued them. 
CA: The warranty only covered design and materials but not 
workmanship which was the cause of the loss…no action for 
the economic loss suffered could proceed…
• Domestic SC/SP 
The DSC has no independent existence 
from the main contractors, therefore the 
main contractors shall be fully 
responsible for the design work carried 
out by their DSC.

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Design Liability Lecture Week 4 Summary

  • 2. Who are designers • Qualified Person: – Professionals • Architects • Engineers – Contractors – Subcontractors – Suppliers
  • 3. Contractual liability • Depend upon the contractual agreement – Standard form contract-PAM or PWD – Conditions of appointment produced by professional bodies
  • 4. Duty to use reasonable care and skill Bolam v Friern Hospital Management Committee Per Mc Nair J: “Where you get a situation which involves the use of special skill or competence…the test…is the standard of the ordinary skilled man exercising and profession to have that special skill. A man need not possess the highest expert skill; it is well established law that it is sufficient if he exercise the ordinary skill of an ordinary competent man exercising that particular art”.
  • 5. Liabilities of Designers • Architects, engineers, surveyors – The liability may commence from the inception of the project 1) Have to make clear of objectives of client. Stormont Main Working Men’s Club v J Roscoe Mine Partnership Held: If the client has expressed his instructions in terms which leave the architect in doubt as to what his purpose is, the architect has a duty to ascertain what is the purpose he is instructed to achieve.
  • 6. 2) Responsibility to make sure that site, contours, geology and dimensions are appropriate. Moneypenny v Hartland The engineer relied upon a third party as to the quality of the ground and did not carry out drilling or the required test. Held: In the absence of proper delegation, the designer is not entitled to rely upon the work of other.
  • 7. The client will be personally liable if the designer is not a qualified person. Segar Restu (M) Sdn Bhd v Wong Kai Chuan The def had mistakenly built the building on adjoining land to the site. He relied upon a registered building draftsman and not a qualified surveyor or architect. Held: The plf is entitled for damages as def had trespass his land.
  • 8. • Generally, designers should not delegate the responsibility unless there is a formal delegation. Moresk Cleaners v Hicks The contractors (plf) had agreed to carry out excavation work for the HK govt under the HK PWd forms with BQ. Due to adverse ground conditions, the engineers gave eot which was more than doubled the time for completion but the plf also claimed to be entitled for adjusted rates and additional sums of payment to cover some unforeseen conditions. The govt. contended that the plf was bound to them and that the engineer could not adjust the rates. P.C: The The plf has the right to claim the additional sums based upon the adjusted rates as it was certified by the engineer (whom had been formally delegated with the task of design by the client).
  • 9. Thomas Saunders Partnership v Martin Harvey The plf (architect) was appointed by the client to design a new office premises which include a 24- hour computer centre. The plf had formally delegated part of the design work to the def (the contractor) and was given a written warranty by the def. Due to some design errors, the architect had to compensate the client. The plf claimed that def is liable to compensate them for the payment they had made to the client. Held: The plf is entitled to recover against the def in respect of the written assurance.
  • 10. Contractors • Where the contractors are not involved in design and build , their design liability will limited to : 1) Temporary work- PAM cl 1.2 2) Permanent works expressly stated in the contract document, to be contractor’s design.- Pam cl.1.3
  • 11. University of Glasgow v William Whitfield and John Laing Construction Contractor owe no general duty to the client tp warn of design deficiencies. The duty only arise where the contractually actually knows of the practical weaknesses.
  • 12. Brunswick v Nowlan The resp (def), engaged an architect to design a house. The app was the main contractor. After construction, the roof leaked badly due to basic design inadequacies. The resp sued the app for the resp for the defect. Supreme Ct of Canada per Ritchie J: “ The app carried out the work of building the house without supervision of any engineer or the assistance of the architect and I think that the appellant must therefore be taken to have accepted the fact that the resp were relying entirely on its skill and attention as a contractor… in my opinion, a contractor of this experience should have recognized the defects in the plans…I think the contractor was under a duty to warn the resp of the danger inherent in executing the architect’s plan.
  • 13. Sub contractors/suppliers • Nominated SC/SP If the the NSC is made responsible for the design work, the main contractor (who is contractually responsible to the client), will have recourse to the NSC for any inadequacies. - It is a common practice, where NSC is requested to give formal warranties to the client, which create a contractual relationship with the client.
  • 14. Greater Nottinghamshire Co-operative Society v Cementation Piling and Foundation Co The NSC entered into a direct collateral warranty for design of their piling work with the plf (client). When the plf work caused loss, the sued them. CA: The warranty only covered design and materials but not workmanship which was the cause of the loss…no action for the economic loss suffered could proceed…
  • 15. • Domestic SC/SP The DSC has no independent existence from the main contractors, therefore the main contractors shall be fully responsible for the design work carried out by their DSC.