Paragraph 49 LiabilityI1

Subject to sub-paragraphs (2) and (3), if by reason or in consequence of the construction of any such works referred to in paragraphs 43, 45 or 47 any damage is caused to any apparatus or alternative apparatus (other than apparatus the repair of which is not reasonably necessary in view of its intended removal for the purposes of those works) or property of the utility undertaker, or there is any interruption in any service provided, or in the supply of any goods, by the utility undertaker, the undertaker must—

by reason or in consequence of any such damage or interruption.

The fact that any act or thing may have been done by the utility undertaker on behalf of the undertaker or in accordance with a plan approved by the utility undertaker or in accordance with any requirement of the utility undertaker or under its supervision does not, subject to sub-paragraph (3), excuse the undertaker from liability under the provisions of sub-paragraph (1).

Nothing in sub-paragraph (1) imposes any liability on the undertaker with respect to any damage or interruption to the extent that it is attributable to the act, neglect or default of the utility undertaker, its officers, servants, contractors or agents.

The utility undertaker must use reasonable endeavours to mitigate in whole or in part any costs, expenses, loss, demands and penalties which the undertaker is liable for under sub-paragraph (1) save for in the event of an emergency or where it is not reasonably practicable to do so (at the undertaker’s absolute discretion).

The utility undertaker must give the undertaker reasonable notice of any third party claim or demand against the utility undertaker by reason or in consequence of any damage or interruption to the utility undertaker’s service and no settlement or compromise is to be made, unless payment is required in connection with a statutory compensation scheme, unless payment is required in connection with a statutory compensation scheme, without first consulting the undertaker and considering its representations (save where required by law or by order of the court).