Jim Ennis Construction Ltd v Premier Asphalt Ltd

Jim Ennis Construction Ltd v Premier Asphalt Ltd

The Claimant’s claim is not statute-barred because the cause of action to recover monies paid in compliance with an adjudicator’s decision arises upon payment, not at the time of the original breach. This is supported by an implied term in the contract and by restitutionary principles. The limitation period runs from the date of payment, and the claim was brought within six years of that date.

Parties
Claimant: Jim Ennis Construction Limited; Defendant: Premier Asphalt Limited
Jurisdiction
England and Wales
Judgment Date
24 July 2009
Procedural Posture
Civil (construction Contract Dispute) / Preliminary Issue on Limitation (statute Barred)
Outcome
Claim not statute-barred; preliminary issue determined in favour of Claimant
Legal Topics
Limitation of Actions, Adjudication Under HGCRA, Implied Terms, Restitution, Enforcement of Adjudicator's Decisions
Contract Law Construction Law Civil Procedure Limitation of Actions Adjudication Under HGCRA Implied Terms Restitution Enforcement of Adjudicator's Decisions

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Parties

Jim Ennis Construction Limited

Claimant

Premier Asphalt Limited

Defendant

Procedural Posture

Civil (construction Contract Dispute) / Preliminary Issue on Limitation (statute Barred)

Legal Issues

  1. 1 Whether the Claimant’s claim to recover monies 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 there is an implied term entitling repayment if the adjudicator’s decision is overturned

Ratio Decidendi

The Claimant’s claim is not statute-barred because the cause of action to recover monies paid in compliance with an adjudicator’s decision arises upon payment, not at the time of the original breach. This is supported by an implied term in the contract and by restitutionary principles. The limitation period runs from the date of payment, and the claim was brought within six years of that date.

Court Disposition

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

Orders

  • The Claimant’s claim is not struck out on limitation grounds
  • The proceedings may continue to final determination of the substantive dispute