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Last edited 03 Nov 2015
Right of light insurance
Cases such as HKRUK II v Heaney (2010) have highlighted the legal system's increased willingness to award an injunction against the developer rather than simply awarding compensation to the injured parties. The costs of compensation/damages can be significant; sometimes being based on up to 30% or more of the developer's profit. The consequences of an injunction will in most cases be even more costly than a damages claim – particularly if it involves demolition of part of a completed building.
Typically, insurance will cover:
- Legal costs involved in addressing claims.
- Compensation settlements.
- Abortive design and construction costs.
- Loss in land value in the event the developer's project is permanently halted or curtailed by the court.
This article was written by --User:Right_of_Light_Consulting
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