The risks of revolutionary design — Sainsbury’s Supermarkets Ltd v Condek Holdings Ltd and Others

Who can an employer look to when a revolutionary design goes wrong and the company that designed and constructed it has gone into liquidation?

Sainsbury’s found itself in such a pickle when a car park at its North Cheam store failed. The potential costs of this failure included £3.24m to demolish the car park and £3.6m of lost revenue.

The car park was built on a revolutionary modular design that enabled it to be pre-fabricated and speedily erected. The design was invented by Mr Pashouros, who licensed his design to a company called Condek Holdings, of which he was a director and investor. Sainsbury’s entered into a contract with Condek for the design, installation and construction of the car park…

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