Perkins Coie·REAL ESTATE / CMBS

Ardmore Insolvency Casts Doubt on Key Building Safety Appeal

An English Court of Appeal hearing expected to clarify the scope of Building Liability Orders under the 2022 Building Safety Act may not proceed after the appellant group entered insolvency proceedings.

The English Court of Appeal granted developer Ardmore Construction permission to appeal a significant High Court ruling that expanded the reach of Building Liability Orders (BLOs) under the Building Safety Act 2022. However, the appeal is now in doubt after several Ardmore group companies entered insolvency proceedings, including Company Voluntary Arrangements. The appellate hearing, scheduled for December 2026, was expected to provide critical guidance on the new statutory regime. The first-instance decision was notable for allowing an "anticipatory" BLO before underlying liability was finalized and for holding that a binding adjudicator's award could trigger liability. This interpretation significantly increases risk for corporate groups associated with UK construction projects. The potential cancellation of the appeal would be a loss for the industry, as it would leave the expansive trial court decision as a key source of authority, perpetuating uncertainty around one of the Act's most powerful enforcement tools. Observers are now watching the insolvency process to see if the appeal will be formally abandoned.

building-safety-actreal-estateconstruction-litigationinsolvencycorporate-veilappellate-procedure
Read the original firm alert → Friday, September 11, 2026

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