Cases - LRE Engineering Services Ltd v Otto Simon Carves Ltd

Record details

Name
LRE Engineering Services Ltd v Otto Simon Carves Ltd
Date
[1981]
Citation
24 BLR 131
Keywords
Arbitration
Summary

This was an appeal from an arbitrator's award. LRE were employed as sub-contractors to OSC. Clause 24(1) of OSC's Special Conditions of Contract required OSC to afford to LRE 'access to and possession of the site... in proper time for the execution of the work'. As a consequence of a strike and picketing at the site, LRE was denied access to the site and could not complete the works until the strike was over. LRE contended that the denial of access rendered OSC in breach of clause 24(1).

It was held, affirming the decision of the arbitrator that:

  1. the natural and ordinary meaning of the requirement 'to afford access' in clause 24(1) meant that there should be a physical means of access and, at the relevant time, the contractor had the opportunity to enter by means of that access;
  2. on the facts there was a physical means of access and OSC did provide LRE with the opportunity of entering the site by such means of access; and
  3. the fact that a third party prevented LRE from taking advantage of the opportunity did not amount to any breach of the obligation undertaken by OSC to afford access.