Several concrete cladding panels were damaged during the 2011 Christchurch Earthquakes in New Zealand. Damage included partial collapse of panels, rupture of joint sealants, cracking and corner crushing. Installation errors, faulty connections and inadequate detailing were also contributing factors to the damage. This paper presents experimental validation of an innovative precast concrete cladding panel system that can resist design level inter-story drifts through ‘rocking’ of panels without incurring any significant damage.