BRITISH TELECOMMUNICATIONS PLC V. JAMES THOMSON & SONS
House of Lords (UK) – 10 December 1998
FACTS
British Telecommunications engaged MDW Ltd. to re-furbish and repair equipment and buildings at a British Telecommunications switching station. MDW Ltd. engaged Thomson to execute steelwork as a sub-contractor.
While Thomson was executing the steelwork a fire broke out and damaged British Telecommunications’ premises. British Telecommunications sued Thomson for damages but Thomson alleged that it was unfair that a duty of care be imposed on it.
ISSUE
The contract between British Telecommunications and MDW Ltd. provided that British Telecommunications was to be insured for loss by fire. Did the obligation of British Telecommunications to insure for fire mean that it was unfair for Thomson to owe a duty of care to British Telecommunications?
FINDING
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