The answer to our subscriber’s question depends on the precise circumstances. This blog post considers the situation on a commercial property development, where works are ongoing and collateral warranties have been provided to a landlord, funder or tenant. Continue reading
It may have been a long time coming, but it seems the courts have finally severed an adjudicator’s decision (I’m conveniently ignoring the judgment in Geoffrey Osborne v Atkins Rail, as I don’t think that is quite the same thing).
In Working Environments v Greencoat, Akenhead J had to decide whether the adjudicator had jurisdiction to decide about two items, valued at £21,000 (plus VAT). He decided he didn’t, and so then had to consider whether the remainder of the adjudicator’s decision could still be enforced (that part was valued at £230,000 plus VAT). Akenhead J held that there was no reason why the substance of the adjudicator’s decision should not be enforced, and so he gave judgment in WE’s favour. He severed the two items valued at £21,000. Continue reading
When Coulson J came to prepare for the second edition of his book, Coulson on Construction Adjudication (Oxford University Press, 2011), he must have realised just how far the law on natural justice had moved forward in the three years since the first edition was published (in 2007). Instead of just one chapter, the second edition now contains three chapters on natural justice, dealing in turn with general principles, bias (actual and apparent) and the right to a fair hearing (including procedural issues, oral hearings and reasons). Continue reading
It is probably fair to say that adjudication favours the referring party. After all, the referring party can spend as much (or as little) time as it wants preparing its claim, collating evidence, proofing witnesses and getting its expert evidence in place. On the other hand, the responding party is up against the clock from the moment it receives the notice of adjudication. I’d say there is a world of difference between knowing a claim may result in a notice of adjudication, and actually having to respond to one when it lands on your desk. Anyone having experienced this will know just how quickly the clock hands go around, once it starts ticking.
The Local Democracy, Economic Development and Construction Act 2009 (LDEDC Act 2009), which amended the Housing Grants, Construction and Regeneration Act 1996 (Construction Act 1996) has now been in force for over half a year. This post focuses on one aspect of the statutory requirement that a construction contract includes an adequate mechanism for payment as it affects release of retention, particularly sub-contract retention.
