In Anns v Merton London Borough Council [1978], Lord Wilberforce categorised cracks in the wall of a new house in which the construction had been negligently supervised as pure economic loss.

Question

Quizplus · Accepted Answer

The statement is false. He actually categorised the harm suffered as 'material physical damage' when, in fact, this is (or should have been) regarded as pure economic loss the loss of value of an item purchased (the house). Anns was one of the cases which added to the expansion of categories in which a duty could be argued in respect of economic losses (as well as an expansion of the scope of duty of care in negligence in general, see chapter 3, section 3.2) and blurring the distinction between economic losses and physical damage as well as between statements/advice and activities.

In Anns V Merton London Borough Council [1978], Lord Wilberforce