Fenice Investments Inc v Jerram Falkus Construction Ltd

Fenice Investments Inc v Jerram Falkus Construction Ltd

Section 15 of the Employer’s Requirements conflicted fundamentally and irreconcilably with clauses 4.9 and 4.10 of the JCT contract; the contract’s hierarchy clause (1.3) required the JCT terms to prevail. The payment and withholding notices were out of time under those terms, so JFC was entitled to payment as awarded by the adjudicator, less sums already paid.

Parties
Claimant: Fenice Investments Inc; Defendant: Jerram Falkus Construction Limited
Jurisdiction
England and Wales
Judgment Date
07 December 2009
Procedural Posture
Civil (construction Dispute) / Judgment After Consolidated CPR Part 8 (declarations) and Part 7 (enforcement) Proceedings
Outcome
Judgment for Jerram Falkus Construction Limited (JFC)
Legal Topics
Interpretation of Contract Terms, Hierarchy of Contract Documents, Adjudication Enforcement, Payment Notices and Withholding Notices, Compliance With Housing Grants (construction & Regeneration) Act 1996
Construction Law Contract Law Interpretation of Contract Terms Hierarchy of Contract Documents Adjudication Enforcement Payment Notices and Withholding Notices Compliance With Housing Grants (construction & Regeneration) Act 1996

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Parties

Fenice Investments Inc

Claimant

Jerram Falkus Construction Limited

Defendant

Procedural Posture

Civil (construction Dispute) / Judgment After Consolidated CPR Part 8 (declarations) and Part 7 (enforcement) Proceedings

Legal Issues

  1. 1 Proper construction of interim payment provisions in the contract
  2. 2 Whether contract provisions comply with the Housing Grants (Construction & Regeneration) Act 1996
  3. 3 Appropriate course for a party challenging an adjudicator's decision on a point of law

Ratio Decidendi

Section 15 of the Employer’s Requirements conflicted fundamentally and irreconcilably with clauses 4.9 and 4.10 of the JCT contract; the contract’s hierarchy clause (1.3) required the JCT terms to prevail. The payment and withholding notices were out of time under those terms, so JFC was entitled to payment as awarded by the adjudicator, less sums already paid.

Court Disposition

Judgment for Jerram Falkus Construction Limited (JFC)

Orders

  • Fenice to pay JFC £165,132.13 within seven days
  • Fenice to pay interest as awarded by the adjudicator within seven days