Portsmouth City Council v Ensign Highways Ltd [2015] EWHC 1969 (TCC) (14 July 2015)

Portsmouth City Council v Ensign Highways Ltd [2015] EWHC 1969 (TCC) (14 July 2015)

Schedule 17 Service Point values are maximum values, not fixed tariffs. PCC's Representative has discretion to award Service Points up to the maximum, based on the gravity of the breach. The duty of good faith and mutual co-operation under clause 44.4.1 does not extend to the award of Service Points under clause 24.

Source-derived case information.

Citation
[2015] EWHC 1969 (TCC)
Parties
Claimant: Portsmouth City Council; Defendant: Ensign Highways Ltd
Jurisdiction
England and Wales
Judgment Date
14 July 2015
Procedural Posture
Commercial Contract Dispute / Judgment After Hearing
Outcome
Declarations granted clarifying that Schedule 17 Service Point values are maximums, not fixed tariffs.
Legal Topics
Interpretation of Contract Terms, Duty of Good Faith, Award of Service Points, Best Value Duty
Contract Law Public Procurement Local Government Law Interpretation of Contract Terms Duty of Good Faith Award of Service Points Best Value Duty

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Parties

Portsmouth City Council

Claimant

Ensign Highways Ltd

Defendant

Procedural Posture

Commercial Contract Dispute / Judgment After Hearing

Legal Issues

  1. 1 Whether Schedule 17 Service Point values are fixed tariffs or maximum values within a range
  2. 2 Whether the duty of good faith and mutual co-operation applies to the award of Service Points under clause 24

Ratio Decidendi

Schedule 17 Service Point values are maximum values, not fixed tariffs. PCC's Representative has discretion to award Service Points up to the maximum, based on the gravity of the breach. The duty of good faith and mutual co-operation under clause 44.4.1 does not extend to the award of Service Points under clause 24.

Court Disposition

Declarations granted clarifying that Schedule 17 Service Point values are maximums, not fixed tariffs.

Orders

  • PCC may award Service Points up to the maximum value in Schedule 17 for each breach, exercising discretion according to the gravity of the breach.
  • The duty of good faith and mutual co-operation does not apply to the award of Service Points under clause 24.