It is almost forgotten now that a œ10,000 civils contract once
brought Laing to the very brink of financial collapse. It was a
bizarre episode that was to have
far-reaching repercussions for the future of the group.
For his second civils job, in 1906, Sir John Laing gamely accepted
full responsibility for all accidents arising from bad weather,
tides and floods, poor ground - even to the point of consequential
loss to landowners, and indemnifying the Corporation of Barrow
against legal fees. The grounds for his confidence were his
ability, and the trial borings from the Corporation showing sound,
dry clay. (Later - and crucially - there were strong suspicions
this remarkably inaccurate information was given in bad faith by
the Corporation's engineer.)
Sir John's biographer, Roy Coad, records that things went wrong
from the start. The winter weather was bad, a freak tide flooded
the site, and worst of all, running sand was discovered.
The project was completed a year late, and property owners
suffering damage jointly sued the Corporation and Laing. The
Corporation, already refusing Laing extra payments, passed the
buck, paying only a token œ250 into court. Bankruptcy loomed.
Coad writes that Sir John went to Furness Abbey and 'sought God and
vowed if He would see him through his troubles, he would make him a
participating partner in the business'.
Amazingly the litigation ended with the town clerk awarding the
plaintiffs just œ250. Due to a shake-up at the Corporation, an
extra œ2,000 was paid to Laing, bringing the company out
exactly even. 'Sir John Laing was moved to the core.' Afterwards
Sir John implemented his vow with his extraordinary charitable
giving.