Furmans Electrical Contractors v Elecref Ltd

Furmans Electrical Contractors v Elecref Ltd

There was no express or implied agreement as to the number of hours on which the daily rate was based. The claim was properly for a reasonable sum for services rendered, not quantum meruit in the strict sense. Furmans was entitled to payment on the unpaid invoices based on a reasonable daily rate assessed at 11 hours. Elecref could not reopen paid invoices as they had knowledge of the facts, raised doubts, but paid without reclaiming, thereby waiving any claim to recover the money.

Parties
Respondent: Furmans Electrical Contractors; Appellant: Elecref Ltd
Jurisdiction
England and Wales
Judgment Date
10 March 2009
Procedural Posture
Civil Appeal / Appeal From County Court Judgment
Outcome
Appeal by Furmans allowed; appeal by Elecref dismissed
Legal Topics
Quantum Meruit, Course of Dealing, Contractual Terms, Restitution, Assessment of Reasonable Price
Contract Law Civil Procedure Quantum Meruit Course of Dealing Contractual Terms Restitution Assessment of Reasonable Price

Case Brief

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Parties

Furmans Electrical Contractors

Respondent

Elecref Ltd

Appellant

Procedural Posture

Civil Appeal / Appeal From County Court Judgment

Legal Issues

  1. 1 Whether there was an express or implied agreement as to the number of hours on which the daily rate was based
  2. 2 Whether a course of dealing established the number of hours for the daily rate
  3. 3 Whether Furmans was entitled to payment on a quantum meruit or reasonable sum basis

Ratio Decidendi

There was no express or implied agreement as to the number of hours on which the daily rate was based. The claim was properly for a reasonable sum for services rendered, not quantum meruit in the strict sense. Furmans was entitled to payment on the unpaid invoices based on a reasonable daily rate assessed at 11 hours. Elecref could not reopen paid invoices as they had knowledge of the facts, raised doubts, but paid without reclaiming, thereby waiving any claim to recover the money.

Court Disposition

Appeal by Furmans allowed; appeal by Elecref dismissed

Orders

  • Judgment for Furmans for the sum claimed less £3,500 deduction for overcharges on unpaid invoices
  • No reopening of paid invoices permitted