London & Regional (St George's Court) Ltd v Ministry of Defence & Anor [2008] EWCA Civ 1212 (06 November 2008)

London & Regional (St George's Court) Ltd v Ministry of Defence & Anor [2008] EWCA Civ 1212 (06 November 2008)

The settlement agreement expressly preserved L & R's liability to Shepherds for Tenant's Variations, so L & R retained the right to claim against MoD. Certificates under the AFL were not binding as to fact or amount and were not the sole condition precedent to payment; other triggers such as actual payment or court order could also give rise to MoD's liability.

Citation
[2008] EWCA Civ 1212
Parties
Claimant/respondent: London & Regional (St George's Court) Limited; Defendants/appellants: Ministry of Defence and Secretary of State for Defence
Jurisdiction
England and Wales
Judgment Date
06 November 2008
Procedural Posture
Civil Appeal / Appeal From High Court (technology & Construction Court) to Court of Appeal
Outcome
Appeal dismissed
Legal Topics
Indemnity Clauses, Certification in Construction Contracts, Settlement Agreements, Tenant's Variations, Condition Precedent to Payment

Case Brief

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Parties

London & Regional (St George's Court) Limited

Claimant/respondent

Ministry of Defence and Secretary of State for Defence

Defendants/appellants

Procedural Posture

Civil Appeal / Appeal From High Court (technology & Construction Court) to Court of Appeal

  1. 1 Whether the settlement agreement extinguished L & R's entitlement to claim against MoD for Tenant's Variations ('no loss' issue)
  2. 2 Whether presentation of a certificate is a condition precedent to payment under the AFL
  3. 3 Whether certificates are binding as to the fact and amount of Tenant's Variations

Ratio Decidendi

The settlement agreement expressly preserved L & R's liability to Shepherds for Tenant's Variations, so L & R retained the right to claim against MoD. Certificates under the AFL were not binding as to fact or amount and were not the sole condition precedent to payment; other triggers such as actual payment or court order could also give rise to MoD's liability.

Court Disposition

Appeal dismissed

Orders

  • Correction of typographical error in the order to reflect the correct answer to issue 6 ('No; the claimant is entitled to bring the claim under the AFL.')
  • Appeal dismissed in relation to issues 6, 1(b), and 1(c)