Murphy v Brentwood District Council
Encyclopedia
Murphy v Brentwood District Council [1991] 1 AC 398 was a House of Lords
House of Lords
The House of Lords is the upper house of the Parliament of the United Kingdom. Like the House of Commons, it meets in the Palace of Westminster....

 decision on recovery of pure economic loss in tort
Tort
A tort, in common law jurisdictions, is a wrong that involves a breach of a civil duty owed to someone else. It is differentiated from a crime, which involves a breach of a duty owed to society in general...

. It is considered to overrule the decision Anns v Merton London Borough Council. Note: this Wikipedia entry cites Murphy v Brentwood District Council as reference [1990] 2 All ER 908 not [1991] 1 AC 398

The defendant Local Authority failed to inspect the foundations of a building adequately, with the result that building became dangerously unstable. The claimant, being unable to raise any money for repairs had to sell the house at a considerable loss, which he sought to recover from the L.A. This action failed as the loss was identified as a Pure Economic loss.

Judgment

The House of Lord overruled "Anns" and held that the council was not liable in the absence of physical injury.
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