Hayes & Anor (t/a Orchard Construction) v Gallant [2008] EWHC 2726 (TCC) (10 November 2008)

Hayes & Anor (t/a Orchard Construction) v Gallant [2008] EWHC 2726 (TCC) (10 November 2008)

The court found that the claimants were entitled to payment for the value of works completed on both the pool complex and the Old House, assessed on the basis of agreed figures and expert evidence. The defendant's termination of the contract was a repudiatory breach, entitling the claimants to loss of profit as agreed between the parties. The defendant's counterclaim for defective work was considered but limited to substantiated items.

Citation
[2008] EWHC 2726 (TCC)
Parties
Claimant: Martin John Hayes and Linda Hayes t/a Orchard Construction; Defendant: Peter Gallant
Jurisdiction
England and Wales
Judgment Date
10 November 2008
Procedural Posture
Civil (construction Dispute) / Judgment After Trial
Outcome
Judgment for the claimants in the agreed sums for completed works and loss of profit, subject to set-off for substantiated items in the defendant's counterclaim.
Legal Topics
Quantum Meruit, Repudiatory Breach, Loss of Profit, Counterclaim for Defective Work, Remuneration and Overheads, Valuation of Works
Construction Law Contract Law Quantum Meruit Repudiatory Breach Loss of Profit Counterclaim for Defective Work Remuneration and Overheads Valuation of Works

Case Brief

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Parties

Martin John Hayes and Linda Hayes t/a Orchard Construction

Claimant

Peter Gallant

Defendant

Procedural Posture

Civil (construction Dispute) / Judgment After Trial

Legal Issues

  1. 1 Whether there was a binding contract or series of contracts for the refurbishment and pool complex works
  2. 2 Whether the claimants are entitled to the sums claimed for completed works and loss of profit
  3. 3 Whether the defendant lawfully terminated the contract or repudiated it

Ratio Decidendi

The court found that the claimants were entitled to payment for the value of works completed on both the pool complex and the Old House, assessed on the basis of agreed figures and expert evidence. The defendant's termination of the contract was a repudiatory breach, entitling the claimants to loss of profit as agreed between the parties. The defendant's counterclaim for defective work was considered but limited to substantiated items.

Court Disposition

Judgment for the claimants in the agreed sums for completed works and loss of profit, subject to set-off for substantiated items in the defendant's counterclaim.

Orders

  • Defendant to pay claimants £111,794.22 (inclusive of VAT) for pool complex works
  • Defendant to pay claimants £40,777.78 for loss of profit on pool complex if liability found