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Paragraph 361 IndemnityI1

England, Wales and Scotland

(1)

Subject to sub-paragraphs (2), (3) and (4), and without detracting from paragraph 359 above, if by reason or in consequence of the construction of any works referred to and approved under this Part, 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 Northern Gas Networks, or there is any interruption in any service provided, or in the supply of any goods, by Northern Gas Networks, the undertaker must—

(a)

bear and pay the cost reasonably incurred by Northern Gas Networks in making good such damage or restoring the supply; and

(b)

make reasonable compensation to Northern Gas Networks for any other expenses, loss, damages, penalty or costs incurred by the utility undertaker, by reason or in consequence of any such damage or interruption.

(2)

The fact that any act or thing may have been done by Northern Gas Networks on behalf of the undertaker or in accordance with a plan approved by Northern Gas Networks or in accordance with any requirement of Northern Gas Networks as a consequence of the authorised development or under its supervision shall not (subject to sub-paragraph (4)), excuse the undertaker from liability under the provisions of this sub-paragraph (2) unless Northern Gas Networks fails to carry out and execute the works properly with due care and attention and in a skilful and workman like manner or in a manner that does not accord with the approved plan.

(3)

Northern Gas Networks must use its reasonable endeavours to mitigate in whole or in part, and to minimise any costs, expenses, loss, demands, penalties etc. capable of being claimed under sub-paragraph (1). If requested to do so by the undertaker, Northern Gas Networks must provide an explanation of how the claim has been minimised or details to substantiate any cost or compensation claimed pursuant to sub-paragraph (1). The undertaker shall only be liable under this paragraph 360 for claims reasonably incurred by Northern Gas Networks.

(4)

Nothing in sub-paragraph (1) shall impose any liability on the undertaker with respect to—

(a)

any damage or interruption to the extent that it is attributable to the neglect or default of Northern Gas Networks, its officers, employees, servants, contractors or agents; or

(b)

any indirect or consequential loss or loss of profits by the Statutory UndertakerF1.

(5)

Northern Gas Networks must give the undertaker reasonable notice of any such claim or demand and no settlement or compromise shall be made without the consent of the undertaker (not to be unreasonably withheld or delayed) which, if it withholds such consent, has the sole conduct of any settlement or compromise or of any proceedings necessary to resist the claim or demand.

Annotations

Textual amendments

F1

Sch. 12 para. 361(4)(b) full stop inserted (21.12.2024) by The Net Zero Teesside (Correction) Order 2024 (S.I. 2024/1384), art. 1, Sch. Table

Commencement

I1

Sch. 12 para. 361 in force at 11.3.2024, see art. 1