Ferson Contractors Ltd. v Levolux A.T. Ltd.

Ferson Contractors Ltd. v Levolux A.T. Ltd.

The adjudicator’s decision was binding and enforceable under s.108 of the Housing Grants Construction and Regeneration Act 1996 and the terms of the sub-contract. Clauses 29.8 and 29.9 did not override the obligation to pay as determined by the adjudicator. The contract must be construed to give effect to the statutory scheme, and any conflicting contractual provisions must yield to the statutory requirement for immediate compliance with adjudicator’s decisions.

Parties
Appellant: Ferson Contractors Limited; Respondent: Levolux A. T. Limited
Jurisdiction
England and Wales
Judgment Date
22 January 2003
Procedural Posture
Civil Appeal / Appeal From Summary Judgment Enforcing Adjudicator’s Decision
Outcome
Appeal dismissed
Legal Topics
Adjudication Under Construction Contracts, Enforcement of Adjudicator’s Decisions, Interpretation of Contractual Provisions, Effect of Statutory Adjudication Provisions
Construction Law Contract Law Adjudication Under Construction Contracts Enforcement of Adjudicator’s Decisions Interpretation of Contractual Provisions Effect of Statutory Adjudication Provisions

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Parties

Ferson Contractors Limited

Appellant

Levolux A. T. Limited

Respondent

Procedural Posture

Civil Appeal / Appeal From Summary Judgment Enforcing Adjudicator’s Decision

Legal Issues

  1. 1 Whether an adjudicator’s decision under s.108 of the Housing Grants Construction and Regeneration Act 1996 is enforceable notwithstanding conflicting contractual provisions
  2. 2 Whether clauses 29.8 and 29.9 of the sub-contract override the obligation to pay as determined by the adjudicator
  3. 3 Whether the adjudicator’s decision was within jurisdiction and binding

Ratio Decidendi

The adjudicator’s decision was binding and enforceable under s.108 of the Housing Grants Construction and Regeneration Act 1996 and the terms of the sub-contract. Clauses 29.8 and 29.9 did not override the obligation to pay as determined by the adjudicator. The contract must be construed to give effect to the statutory scheme, and any conflicting contractual provisions must yield to the statutory requirement for immediate compliance with adjudicator’s decisions.

Court Disposition

Appeal dismissed

Orders

  • Order in terms of agreed minute of order
  • Summary judgment for enforcement of adjudicator’s decision