ISG Retail Ltd v FK Construction Ltd

ISG Retail Ltd v FK Construction Ltd

The court found that the adjudicator made an incontrovertible error in his approach to quantifying damages for the rooflight works by double-counting sums, and that this error fell within the limited exception permitting the court to correct such errors on summary enforcement. The court reduced the enforceable sum accordingly.

Parties
Claimant: ISG Retail Ltd; Defendant: FK Construction Ltd
Jurisdiction
England and Wales
Judgment Date
07 May 2024
Procedural Posture
Construction Adjudication Enforcement / Summary Judgment Application
Outcome
Summary judgment granted in part for the claimant; adjudicator’s award enforced only to the extent of the corrected sums.
Legal Topics
Adjudication Enforcement, Summary Judgment, Damages Quantification, Natural Justice, Set Off, Error of Law, Severability of Adjudicator's Decision

Case Brief

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Parties

ISG Retail Ltd

Claimant

FK Construction Ltd

Defendant

Procedural Posture

Construction Adjudication Enforcement / Summary Judgment Application

  1. 1 Whether the court can correct an incontrovertible error in the adjudicator’s approach to quantification of damages on summary judgment
  2. 2 Whether an issue of law can be raised as a partial defence to enforcement of an adjudicator’s decision
  3. 3 Whether the adjudicator’s decision is severable

Ratio Decidendi

The court found that the adjudicator made an incontrovertible error in his approach to quantifying damages for the rooflight works by double-counting sums, and that this error fell within the limited exception permitting the court to correct such errors on summary enforcement. The court reduced the enforceable sum accordingly.

Court Disposition

Summary judgment granted in part for the claimant; adjudicator’s award enforced only to the extent of the corrected sums.

Orders

  • Judgment for the claimant in the sum of £120,713.06 plus interest of £12,236.64 (up to 28 May 2024) and daily interest thereafter at £20.67 for the rooflight works.
  • Judgment for the claimant in the sum of £191,740.86 plus interest of £9,426.69 (up to 28 May 2024) and daily interest thereafter at £48.59 for the pallet store defects.