Governors & Co of the Bank of Ireland & Anr v Watts Group Plc 12/7/17 (TCC)

Two banks sought damages for losses caused by the alleged negligence of a quantity surveyor in relation to a loan advance for a city centre development. The bank alleged that the surveyor’s estimate of the borrower’s building costs estimates had been negligent and that had it been properly prepared the banks would not have allowed the drawdown of the loan. The allegations of negligence failed and the losses consequent on the making of the loan were not recoverable. The defendant would only have been liable for the financial consequences of the construction costs being wrong. The court held that the bank’s expert was not a properly independent witness for various reasons.