Party Wall etc. Act 1996 specialists · London & the Midlands Free advice · info@coburnspartywall.co.uk · 0207 11 88 3 55
Knowledge base · Guidance & insight

Building contracts and the Party Wall Act: protecting your interests

When notifiable works are carried out, building owners often assume that any damage caused to neighbouring property is simply a matter for the contractor.

Overview

When notifiable works are carried out, building owners often assume that any damage caused to neighbouring property is simply a matter for the contractor.

That assumption is dangerous. Under the Party Wall etc. Act 1996, responsibility sits with the building owner, even if the contractor caused the damage.

Who is responsible?

The building owner is responsible for damage caused by works carried out under the Act. The contractor does not owe duties under the Act to the adjoining owner in the same way.

That means the building owner may have to make good damage or pay compensation, even where the contractor was careless.

Why the building contract matters

The building owner should protect themselves through the building contract.

The contract should require the contractor to:

  • carry out the works carefully and in accordance with the award;
  • make good damage caused to adjoining property;
  • reimburse the building owner for reasonable costs paid to the adjoining owner;
  • maintain appropriate insurance;
  • cooperate with inspections and party wall procedures.

This does not remove the building owner's liability under the Act, but it helps shift the financial burden back to the contractor where appropriate.

Reasonable repair costs

Where damage is alleged, the surveyors may determine:

  • whether damage was caused by the works;
  • the appropriate repair method;
  • whether making good or compensation is appropriate;
  • the reasonable cost of repair.

That can avoid court proceedings if the issue falls within the surveyors' jurisdiction.

Timing matters

Final party wall inspections usually take place after works are complete. Building owners should therefore:

  • retain enough money under the building contract;
  • avoid releasing final payment too early;
  • ensure the contractor returns to make good defects or damage;
  • distinguish incomplete contract works from party wall damage.

Takeaway

The Party Wall Act places responsibility firmly on the building owner. A properly drafted building contract is essential to stop that responsibility becoming an unexpected personal cost.

Disclaimer. This article is for general information only and is not legal or professional advice. It is not tailored to any specific property, project or dispute, and the law and its application can change. Always seek advice from a suitably qualified professional before taking action. Coburns Party Wall accepts no liability for action taken in reliance on this article.

Have a party wall matter?

Articles are a great starting point — for advice on your specific situation, just get in touch.