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The Building Safety Act 2022 (BSA 2022), s 130, empowers the High Court to make a building liability order (BLO) if it considers it just and equitable to do so. A BLO imposes liability for certain defective building works on a corporate body associated with a corporate body that provided the works (the ‘original body’). Specifically, the court may order that a ‘relevant liability’ (see below) of the original body is also a liability of an associated body, or a joint and several liability or two or more associated bodies. For more information on BLOs generally, see Practice Note: Building liability orders.

This Q&A considers whether a developer is entitled to a BLO against a company associated with a contractor that it engaged to provide building works where it:

1. •

   is liable to the owners or leaseholders of a building for defects, and

2. •

   wishes to recover its loss from the contractor, but

3. •

   the contractor is insolvent or has ceased trading

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