Hyder Consulting (UK) Ltd v Carillion Construction Ltd

Hyder Consulting (UK) Ltd v Carillion Construction Ltd

Carillion failed to demonstrate that the adjudicator's failure to notify them of his methodology or figures for the Target Cost calculation amounted to a material breach of natural justice. The calculation of the Target Cost was always in issue, both parties had the opportunity to make submissions, and the figures used were available to Carillion. Even if Carillion had made the points now raised, the outcome would not have changed. Therefore, summary judgment is granted for Hyder.

Parties
Claimant: Hyder Consulting (UK) Limited; Defendant: Carillion Construction Limited
Jurisdiction
England and Wales
Judgment Date
13 July 2011
Procedural Posture
Civil (commercial Construction Dispute) / Application for Summary Judgment to Enforce Adjudicator's Decision
Outcome
Summary judgment for the claimant (Hyder) enforcing the adjudicator's decision.
Legal Topics
Adjudication Enforcement, Natural Justice, Summary Judgment, Pain/gain Share Provisions, Target Cost Contracts
Construction Law Contract Law Adjudication Enforcement Natural Justice Summary Judgment Pain/gain Share Provisions Target Cost Contracts

Case Brief

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Parties

Hyder Consulting (UK) Limited

Claimant

Carillion Construction Limited

Defendant

Procedural Posture

Civil (commercial Construction Dispute) / Application for Summary Judgment to Enforce Adjudicator's Decision

Legal Issues

  1. 1 Whether the adjudicator's decision should be enforced despite alleged breach of natural justice
  2. 2 Whether the adjudicator failed to notify parties of his methodology and figures for Target Cost calculation
  3. 3 Whether any breach of natural justice was material to the outcome

Ratio Decidendi

Carillion failed to demonstrate that the adjudicator's failure to notify them of his methodology or figures for the Target Cost calculation amounted to a material breach of natural justice. The calculation of the Target Cost was always in issue, both parties had the opportunity to make submissions, and the figures used were available to Carillion. Even if Carillion had made the points now raised, the outcome would not have changed. Therefore, summary judgment is granted for Hyder.

Court Disposition

Summary judgment for the claimant (Hyder) enforcing the adjudicator's decision.

Orders

  • Carillion to pay Hyder £3,104,399.74 plus interest as awarded by the adjudicator.
  • Carillion to pay 50% of the adjudicator's fees as ordered.