by bregs blog admin team
In 2014 a builder-developer purchases a site. He commissions an architect to make a planning application for an apartment block, which is granted by the local authority. The builder-developer has in-house professionals and he appoints one of these “Assigned Certifier” to inspect the site under the new regulations. The certifier uploads the required number of drawings and documents to the local authority IT system. The local authority do not look at any of these files, nor do they ever visit the site during the course of the build. The building is therefore built in exactly the same manner as it might have been built over the boom with internal controls only, no external Local Authority controls.
The apartments are put on the market in 2015 and Mr. & Mrs. Ryan purchase one. Four years later cracks in the building begin to appear. Investigations are completed at the apartment owners’ expense by the management company. Experts announce that major remedial works will be required. The Ryans have to move out of their apartment. They must find the money to fix the problems and sue the builder and the certifier.
Meanwhile the builder-developer has gone into liquidation. As a result, the certifer lost his job and the PI insurance was cancelled. This needed to be in place when the problems appear to be of any use. Who is going to pay to fix the problem? Is the only hope to gather public support and ask the government to step in?
Has S.I.80 changed anything for Mr. & Mrs. Ryan?
Is there an alternative?
A system of independent checks and inspections on the site would have prevented this situation from arising in the first place. If there was a problem, the local authority could have required the builder to fix the problem or taken him to court before the apartments were sold. Had hidden (latent) defects later appeared, state operated Latent Defects Insurance (LDI) would pay for the repairs immediately. The insurance company would then go on to sue the builder and the professionals, keeping the Ryans out of court.