Cases - Fastrack Contractors Ltd v Morrison Construction Ltd

Record details

Name
Fastrack Contractors Ltd v Morrison Construction Ltd
Date
(2000)
Citation
BLR 168; 75 Con LR 33 TCC
Legislation
Keywords
Construction - adjudication - jurisdiction - referral notice - meaning of dispute - whether particular or quantified or finalised sum necessary for dispute - when dispute arises - Housing Grants, Construction and Regeneration Act 1996, section 108 - Scheme For Construction Contracts (England and Wales) Regulations 1998
Summary

Fastrack was a brickwork subcontractor to Morrison as the main contractor. Morrison alleged that Fastrack was behind program and appointed others to expedite part of the works. Fastrack treated this is a repudiating breach and withdrew from site.

Two adjudications ensued in which Fastrack were awarded sums totalling approximately £121,000. Morrison challenged the adjudicator's jurisdiction on the basis that the notice of intention to adjudicate referred to more than one dispute, which, under the Scheme, was not permissible.

The judge concluded that:

  • Under the Scheme, if 2 disputes are to be referred there must be 2 references. However, a dispute may involve a number of claims.
  • A referring party may decide to confine the referred dispute to something less than the totality of the matters in dispute, provided that this does not transform the dispute. A claim can often be made without its quantification having been finalised or even attempted.
  • A dispute can only arise once the subject matter of the claim, issue or other matter has been brought to the attention of the opposing party and that party has had an opportunity of considering and admitting, modifying or rejecting the claim of assertion.
  • Fastrack's referral notice was wide enough to embrace the whole of the dispute between the parties outstanding after the first adjudication had been completed and accordingly the adjudicator had full jurisdiction.