Locations
The High Court’s recent decision in Ashdrum Lodge Ltd t/a Kiernan Homes v. Barbouti[1] provides essential guidance on the limits of professional liability for architects, and the consequences of client conduct in construction litigation.
Background
The dispute arose from the extensive refurbishment of Derrybawn House, a protected structure in Co. Wicklow. The client (Ms. Barbouti) engaged Kiernan Homes as contractor and Gilligan Architects as supervising architects. The project, initially quoted at €360,000, ultimately involved rolling instructions and ballooned to over €5 million, all without a formal written contract. When the relationship broke down, the client excluded both the contractor and architect from site and refused to appoint a quantity surveyor, leading to litigation over alleged defective works.
Key Findings
The Court (Stack J.) reaffirmed that an architect’s duty is defined by the scope of their retainer and the standard of periodic visual inspection - not continuous supervision or a guarantee of workmanship (McGlinn principles). The principal defects (notably defective bedding mortar) were not patent or reasonably discoverable during periodic inspections. The client’s actions in unilaterally excluding the professionals from site - without contractual justification and without prior notice - and obstructing the final account process prevented further investigation and remediation. Consequently, all claims for liability against the architect were reduced save for two conceded design failures:
- Warehouse foundations: Full liability attributed to the architect.
- Capping/haunching of historic walls: Liability apportioned 50/50 between architect and contractor.
Damages for these items were to be agreed between the parties.
Application of the Civil Liability Act 1961
The judgment is notable for its application of the Civil Liability Act 1961:
- Section 17: The Court apportioned liability among concurrent wrongdoers, determining the respective responsibilities of the contractor and architect.
- Section 34: The Court relied on contributory negligence and mitigation principles to reduce or extinguish the architect’s liability, given the Plaintiff’s unreasonable conduct.
Practical Takeaways
- Professional Duties: Architects are not guarantors of workmanship; their liability is limited to what is reasonably discoverable.
- Client Conduct Matters: Unilateral exclusion of professionals from site or refusing to follow standard procedures can severely limit recovery, where otherwise it may have been possible.
- Legislative Framework: The Civil Liability Act, 1961 provides a mechanism for apportionment of liability between concurrent wrongdoers where contributory negligence is established.
Conclusion
This decision reinforces the principles of fairness and adherence to contractual obligations will impact the ultimate assessment of liability and ability to recover damages from a construction professional. Both clients and professionals are bound by and must adhere to their respective contractual and statutory obligations, and failure to do so will impact upon liability and recoverability of damages.
Editor’s Note
This case is a cautionary reminder that clients who disrupt contractual processes or prevent professionals from fulfilling their duties may forfeit or significantly reduce their entitlement to damages. For practitioners, the decision underscores the importance of clear contractual arrangements, proper documentation, and adherence to standard procedures in construction projects.
The outcome demonstrates that the ability to successfully recover damages will be measured against a party's own behaviours and adherence to the contractual and statutory obligations. Where a client’s own actions contribute to loss or prevent remediation, this will lead to an apportionment of loss and courts will look to the mitigation provisions enacted to ensure a fair result.
Written by: Dermot McEvoy and Christian Carlyle
The above is for general guidance only and is not intended as professional advice. Advice should always be taken before acting on any of the issues identified. Please contact Dermot McEvoy, Christian Carlyle, Killian O'Reilly, Leanne Kiernan or Rebecca Oliphant should you require specific legal advice on this area or indeed any Dispute Resolution law issues.