Cases - Kilker Projects Ltd v Purton (t/a Richwood Interiors)

Record details

Name
Kilker Projects Ltd v Purton (t/a Richwood Interiors)
Date
[2016]
Citation
EWHC 2616
Legislation
Keywords
Adjudication
Summary

'Subject always to the express terms of the contract, where the "notified sum" is in respect of an interim payment, usually there is no contractual basis on which the contractor's entitlement to that payment can be re-opened. Any errors can be corrected in subsequent interim or final valuations. Therefore, an adjudication decision as to the "notified sum" payable precludes a challenge to the interim payment on grounds of valuation in a subsequent adjudication – see: ISG and Galliford.

'However, where the "notified sum" determined in adjudication is in respect of a final payment, unless the contract provides that such payment is conclusive as to the contract sum due, although the "notified sum" must be paid, either party is entitled to have the ultimate value of the contract sum determined in a subsequent adjudication, litigation or other form of dispute resolution – see: Rupert Morgan and Matthew Harding. It is not necessary for the contract to set out any specific mechanism for that final accounting exercise; payment of any final sum due to either party is based on enforcement of the contractual bargain.'

See also Purton (t/a Richwood Interiors) v Kilker Projects Ltd.