Jim Ennis Construction Ltd v Premier Asphalt Ltd [2009] EWHC 1906 (TCC) (24 July 2009)

Jim Ennis Construction Ltd v Premier Asphalt Ltd [2009] EWHC 1906 (TCC) (24 July 2009)

The cause of action for repayment of sums paid under an adjudicator's decision arises upon payment in compliance with that decision, not at the date of the underlying breach or adjudicator's decision. This is based on an implied term in contracts subject to the Scheme and is also supported by restitutionary...

Source-derived case information.

Citation
[2009] EWHC 1906 (TCC)
Parties
Claimant: Jim Ennis Construction Limited; Defendant: Premier Asphalt Limited
Jurisdiction
England and Wales
Judgment Date
24 July 2009
Procedural Posture
Preliminary Issue in Civil Proceedings (technology and Construction Court) / Judgment on Preliminary Issue Regarding Limitation Defence
Outcome
Claim not statute-barred; preliminary issue determined in favour of Claimant
Legal Topics
Adjudication Under HGCRA, Limitation Act 1980, Implied Contractual Terms, Restitution, Negative Declarations, Estoppel, Enforcement of Adjudicator's Decisions
Construction Law Contract Law Civil Procedure Adjudication Under HGCRA Limitation Act 1980 Implied Contractual Terms Restitution Negative Declarations +2 more

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Summary, issues, holding and outcome

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Parties

Jim Ennis Construction Limited

Claimant

Premier Asphalt Limited

Defendant

Procedural Posture

Preliminary Issue in Civil Proceedings (technology and Construction Court) / Judgment on Preliminary Issue Regarding Limitation Defence

Legal Issues

  1. 1 Whether the Claimant's claim to recover sums paid under an adjudicator's decision is statute-barred under the Limitation Act 1980
  2. 2 Whether a new cause of action arises upon payment in compliance with an adjudicator's decision
  3. 3 Whether an implied term exists entitling repayment if the dispute is finally determined in the payer's favour

Ratio Decidendi

The cause of action for repayment of sums paid under an adjudicator's decision arises upon payment in compliance with that decision, not at the date of the underlying breach or adjudicator's decision. This is based on an implied term in contracts subject to the Scheme and is also supported by restitutionary principles. The limitation period runs from the date of payment, so the Claimant's claim is not statute-barred.

Court Disposition

Claim not statute-barred; preliminary issue determined in favour of Claimant

Orders

  • The Claimant's claim is not statute-barred by limitation.