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Prediction: Construction Professionals: Dwelling on the past – a rise in claims under the Defective Premises Act

Regulation
Professional Liability
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Prediction

The rise in claims under the Defective Premises Act 1972 (DPA) over the past 12 months is set to continue with more disputes reaching trial as clarification over the parameters of such claims is sought. The resurgence has largely been due to the extended retrospective 30 year limitation period under the Building Safety Act 2022, which has thrust the rarely used legislation into the spotlight. Claims which have long since been time barred are now being pursued based on allegations that defects rendered a property unfit for habitation. There remain relatively few reported decisions on the DPA, leaving construction professionals, their insurers and legal advisors grappling with thorny issues such as whether a property is 'unfit for habitation' on completion and whether liability under the DPA is strict, as opposed to requiring a finding of negligence. A further likely battleground is the definition of 'dwelling' and specifically whether this (and therefore the DPA) applies to properties such as student accommodation and holiday lets.

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