Describes a study of the interaction that occurs between moment-resisting reinforced concrete or steel frames and precast concrete cladding panels when such buildings, designed according to current practice, are subjected to horizontal loading. The significant structural parameters are identified and their relative importance in influencing the racking stiffness of the structure is investigated. A simple model for representing the panels in the total structure model is proposed. The structure model may then be analyzed by computer using a general purpose structural analysis program to provide the horizontal deflections, and the forces in the frame, panels and their connections.