Kitt & Anor v The Laundry Building Ltd & Anor [2014] EWHC 4250 (TCC) (17 December 2014)

Kitt & Anor v The Laundry Building Ltd & Anor [2014] EWHC 4250 (TCC) (17 December 2014)

It is not possible in adjudication to limit an adjudicator's jurisdiction so as to exclude particular defences by defining the dispute in the Notice of Adjudication. The adjudicator acted within jurisdiction and in accordance with natural justice by considering all disputed items and set-offs. Both TLB and ETC are jointly and severally liable for the adjudicator's fees, and TLB is entitled to recover from ETC any sums paid to the adjudicator.

Citation
[2014] EWHC 4250 (TCC)
Parties
Claimant: Gary Kitt and EC Harris LLP; Defendant and Part 20 Claimant: The Laundry Building Limited; Part 20 Defendant: Etcetera Construction Services Limited
Jurisdiction
England and Wales
Judgment Date
17 December 2014
Procedural Posture
Claim for Adjudicator's Fees and Part 20 Claim for Contribution/indemnity / Judgment After Summary Judgment Application
Outcome
Judgment for the Claimants (Mr Kitt and EC Harris LLP) against TLB; judgment for TLB against ETC for the same amount.
Legal Topics
Adjudicator's Jurisdiction, Natural Justice in Adjudication, Joint and Several Liability for Adjudicator's Fees, Set Off and Contribution Claims
Construction Law Contract Law Civil Procedure Adjudicator's Jurisdiction Natural Justice in Adjudication Joint and Several Liability for Adjudicator's Fees Set Off and Contribution Claims

Case Brief

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Parties

Gary Kitt and EC Harris LLP

Claimant

The Laundry Building Limited

Defendant and Part 20 Claimant

Etcetera Construction Services Limited

Part 20 Defendant

Procedural Posture

Claim for Adjudicator's Fees and Part 20 Claim for Contribution/indemnity / Judgment After Summary Judgment Application

Legal Issues

  1. 1 Whether the adjudicator exceeded his jurisdiction by considering items ETC sought to exclude
  2. 2 Whether the adjudicator breached the rules of natural justice
  3. 3 Whether TLB and ETC are jointly and severally liable for the adjudicator's fees

Ratio Decidendi

It is not possible in adjudication to limit an adjudicator's jurisdiction so as to exclude particular defences by defining the dispute in the Notice of Adjudication. The adjudicator acted within jurisdiction and in accordance with natural justice by considering all disputed items and set-offs. Both TLB and ETC are jointly and severally liable for the adjudicator's fees, and TLB is entitled to recover from ETC any sums paid to the adjudicator.

Court Disposition

Judgment for the Claimants (Mr Kitt and EC Harris LLP) against TLB; judgment for TLB against ETC for the same amount.

Orders

  • TLB to pay £9,000 to the Claimants for costs.
  • ETC to pay TLB £9,000 (reimbursement of Claimants' costs) and £5,400 (60% of TLB's own costs).