Lidl UK GmbH v R G Carter Colchester Ltd [2012] EWHC 3138 (TCC) (08 November 2012)

Lidl UK GmbH v R G Carter Colchester Ltd [2012] EWHC 3138 (TCC) (08 November 2012)

The adjudicator's decision on Lidl's entitlement to pro-rata liquidated damages for Sections 1 and 2 was within jurisdiction and enforceable; the part awarding £125,000 for full LADs was outside jurisdiction and severable. No material breach of natural justice occurred. The Part 8 claim for a declaration serves no useful purpose until the underlying factual dispute is resolved.

Citation
[2012] EWHC 3138 (TCC)
Parties
Claimant (ht12 309), Defendant (ht12 312): Lidl UK GmbH; Defendant (ht12 309), Claimant (ht12 312): R G Carter Colchester Limited
Jurisdiction
England and Wales
Judgment Date
08 November 2012
Procedural Posture
Commercial Construction Dispute (summary Judgment and Part 8 Claim) / High Court (tcc) Judgment on Summary Judgment Application and Part 8 Claim
Outcome
Summary judgment granted in part; enforcement of adjudicator's decision excluding £125,000; Part 8 claim dismissed as serving no useful purpose.
Legal Topics
Adjudication Enforcement, Liquidated Damages, Jurisdiction of Adjudicator, Natural Justice, Severability of Adjudicator's Decision
Construction Law Contract Law Civil Procedure Adjudication Enforcement Liquidated Damages Jurisdiction of Adjudicator Natural Justice Severability of Adjudicator's Decision

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Parties

Lidl UK GmbH

Claimant (ht12 309), Defendant (ht12 312)

R G Carter Colchester Limited

Defendant (ht12 309), Claimant (ht12 312)

Procedural Posture

Commercial Construction Dispute (summary Judgment and Part 8 Claim) / High Court (tcc) Judgment on Summary Judgment Application and Part 8 Claim

Legal Issues

  1. 1 Scope of dispute referred to adjudicator
  2. 2 Jurisdictional excess by adjudicator
  3. 3 Severability of adjudicator's decision

Ratio Decidendi

The adjudicator's decision on Lidl's entitlement to pro-rata liquidated damages for Sections 1 and 2 was within jurisdiction and enforceable; the part awarding £125,000 for full LADs was outside jurisdiction and severable. No material breach of natural justice occurred. The Part 8 claim for a declaration serves no useful purpose until the underlying factual dispute is resolved.

Court Disposition

Summary judgment granted in part; enforcement of adjudicator's decision excluding £125,000; Part 8 claim dismissed as serving no useful purpose.

Orders

  • Adjudicator's decision enforced except for the £125,000 relating to full LADs, which is severed as outside jurisdiction.
  • Part 8 claim for declaration dismissed.