Cases - Solland International Ltd v Daraydan Holdings Ltd
Record details
- Name
- Solland International Ltd v Daraydan Holdings Ltd
- Date
- [2002]
- Citation
- EWHC 220 (TCC) 83ConLR109
- Legislation
- Keywords
- Adjudication - construction contract - enforcement of adjudicator's decision - cross-claim - cross-claim for liquidated damages - notice of intention to withhold payment
- Summary
-
Solland were building contractors undertaking construction work on behalf of Daraydan. Disputes arose with regard to payment of an interim certificate, which Solland referred to adjudication. The adjudicator found that the certified sums were payable, but Daraydan continued to resist payment.
These proceedings were brought by Solland to enforce the adjudicator's decision, and they applied for summary judgment. The application for summary judgment was resisted by Daraydan on the basis that they had a cross-claim for liquidated damages that exceeded the amount of Solland's claim in the action.
The judge concluded that the sum that the adjudicator had determined to be paid became payable under the contract, notwithstanding that the determination was itself a decision as to what sum was payable under the contract. Consequently, in the ordinary case, as there will be no notice of intention to withhold payment of some amount of what an adjudicator determined to be due, there can be no question but that the amount that the adjudicator decides is due is payable in full.
In this case, as a result of the decision of the adjudicator, Daraydan became obliged under the terms of the building contract, including the terms of the Scheme as incorporated therein, to pay Solland the sum of £658,944.72 plus interest and the adjudicator's fee. Solland were entitled to judgment.