“Fitness for Purpose” Obligations for the Offshore Wind Sector
The United States has just joined the offshore wind community with the commissioning of the Block Island Wind Farm in Rhode Island. As this community continues to grow, any decision of a common law court that provides guidance on the interpretation of contractual terms, or of the application of established common law to this new and fast-growing industry, is welcome. A recent decision by the UK’s Technology and Construction Court (TCC) contains important guidance on “fitness for purpose” obligations in a supplier contract and how these obligations apply to an offshore wind project.
Fluor entered into a contract with Greater Gabbard Offshore Winds Ltd. (GGOWL) to supply the foundations and infrastructure necessary to support 140 wind turbines for the Greater Gabbard Offshore Wind Farm in the North Sea, some 26 kilometers off the coast of Suffolk, England. To ensure the quality of the welds in these massive structures, the contract required that nondestructive testing (NDT) be carried out on the foundation monopiles, which were in turn supplied by Shanghai Zhenhua Heavy Industries Co.…