Negligence

Question 1

When can a claim arise?

Answer 1

A duty of care exists the clients and third parties. When breached and there is a loss a claim arises

Question 2

What does the limitation act 1980 say about limitation periods for negligence?

Answer 2

Contract - 6 years from date of negligent breach, breach of contract or omission
Section 14a provides alternative limitation period of 3 years from the date of knowledge of damage subject to a 15 year longstop date

Tort - 6 years from the date the claimant suffered the loss

Question 3

How can you avoid negligence claims?

Answer 3

• Understand client objectives and confirm precise instructions in writing in terms of engagement
• ensure you’re competent to undertake the instruction
• undertake work in accordance with RICS guidance
• make notes and take photos of surveys etc
• keep up to date with market knowledge and legislation and undertake and record CPD
• Cap PI excess on PII policy in terms of engagement