Streetwise Answers

Streetwise

We have recieved a collateral warranty for one of our projects using the JCT 2005 Sub-contractor collateral warranty document. We are fine with all of the terms with regards to workmanship, however we used an external designer for the works.

We are being asked to sign for the design competancy, are we able to list the designer within the agreement, or do we need to raise our own internal collateral warranty against the designer?

You assistance would be much appreciated.

Richard Orry WBS Nottingham

Hi Richard

The whole question of design liability is a very complex one but suffice it to say that you need to be very wary. Design liability tends to fly around in all directions and sticks better than "No More Nails to a blanket!

Not only do you need to consider the warranty issue you need to think about your Professional Indemnity insurance and/or that of your sub-contract/consultant designer.

You also need to consider the form of the contract in place between you and your designer because you may well have a greater design liability under your sub-contract with the Contractor than your designer does to you!

Using a consult designer does not automatically protect your interests or mean that you can rely on his PI insurance if things go wrong.

Best regards

Streetwise

Posted by: barryashmore - Return

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