Can an employer recover the cost of expert investigation into defective work?
Recovery is not automatic. It depends on the contract, the purpose and reasonableness of the investigation, the contractor's response and whether the claimed fees constitute recoverable loss rather than ordinary contract administration.
Check whether the defects procedure is exclusive and prove that the expert cost was a reasonable consequence of breach
The result recorded for Johnston concerned investigation, advice and management costs where the contractual defects procedure supplied the remedy and the contractor completed the remedial work. That clause-specific Scottish result should not be treated as a universal exclusion. Outside such wording, reasonable expert cost may be claimed as damages if breach, causation, remoteness, reasonableness and mitigation are proved. Separate genuine investigation from routine certification or administration.
| Issue | Position |
|---|---|
| Contractual defects procedure | Read first for exclusivity and cost allocation |
| Routine administration | Not automatically recoverable damages |
| Necessary expert investigation | Potentially recoverable if proved |
| Contractor remedies promptly | May narrow further loss |
| Legal and management cost | Require separate basis and proof |
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