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#law #negligence #pel #tort
In Murphy v Brentwood District Council [1990] 2 All ER 908, the House of Lords confirmed that the cost of repairing inherently defective products or property was rightly classified as pure economic loss. Here the claimant bought a house which subsequently developed structural defects because of inadequate foundations. Eventually, the plaintiff was forced to sell it for £35,000 less then it would have fetched without the defect. The Lords were of the opinion that there would be no liability on the part of a defendant where the dangerous defect manifests itself before any actual damage has occurred. For this reason, it was a claim for pure economic loss and was not recoverable. This was not a dangerous defect but simply a defect as to the quality of a product.
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