Cases - Corisand Investments Ltd v Druce & Co

Record details

Name

Corisand Investments Ltd v Druce & Co

Date

[1978]

Citation

2 EGLR 86

Legislation

Fire Precautions Act 1971

Keywords

Negligence in valuations and surveys

Summary

The defendants, in valuing a hotel for mortgage lenders, were held negligent for failing to take into account the cost of works that would be needed to satisfy the Fire Precautions Act 1971 and thus to obtain a fire certificate. In coming to this conclusion, the judge acknowledged that a valuer might legitimately base a valuation upon comparables alone, without any further calculation, or even upon his or her own experienced instinct and awareness of the market.

The parties agreed that 15% was an appropriate margin of error.