Houlahan v Pitchen

The appeal concerned a dispute arising from a building contract. The appellants, Houlahan, agreed to construct a house for the first respondent, Pitchen. After the construction was completed, the first respondent was injured when a balustrade installed in the house collapsed. The dispute centred on whether the balustrade was part of the building contract, and if the appellants were negligent in not inquiring about the subcontractor's method of installation. The first respondent also cross-appealed against the award of damages, arguing that the trial judge erred in assessing the loss of earning capacity and the award of general damages.

The court was required to determine whether the balustrade was part of the building contract and if the appellants were negligent in not inquiring about the subcontractor's installation method. Additionally, the court had to assess whether the trial judge made errors in determining the loss of earning capacity and the award of general damages.

The court held that the balustrade was part of the building contract, and the appellants were negligent in not inquiring about the subcontractor's installation method. The court found that the trial judge erred in not assessing the loss of earning capacity by reference to the new employment of a former work colleague. However, the court upheld the award of general damages, finding it proportionate to the injuries and disabilities suffered by the first respondent.

The court ordered that the appellants were liable for the first respondent's injuries and awarded damages. The court also directed that the loss of earning capacity be reassessed by reference to the new employment of a former work colleague. The award of general damages was upheld.