JA Ball Ltd v St Philips Homes (Courthaulds) Ltd [2022] EWHC 3690 (TCC) (03 February 2022)

JA Ball Ltd v St Philips Homes (Courthaulds) Ltd [2022] EWHC 3690 (TCC) (03 February 2022)

The adjudicator decided the case on a novel basis not argued by either party and without giving the defendant an opportunity to address it, amounting to a material breach of natural justice. The breach was material because the defendant's argument on the contractual payment machinery had a realistic prospect of success. Accordingly, the adjudication decision is unenforceable.

Citation
[2022] EWHC 3690 (TCC)
Parties
Claimant: J A Ball Limited (In Administration); Defendant: St Philips Homes (Courthaulds) Ltd
Jurisdiction
England and Wales
Judgment Date
03 February 2022
Procedural Posture
Summary Judgment Application for Enforcement of Adjudication Award / Judgment on Application for Summary Enforcement
Outcome
Claim dismissed
Legal Topics
Adjudication Enforcement, Natural Justice, Insolvency Set Off, Champerty, Summary Judgment, JCT Contract Interpretation
Construction Law Insolvency Law Civil Procedure Adjudication Enforcement Natural Justice Insolvency Set Off Champerty Summary Judgment +1 more

Case Brief

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Parties

J A Ball Limited (In Administration)

Claimant

St Philips Homes (Courthaulds) Ltd

Defendant

Procedural Posture

Summary Judgment Application for Enforcement of Adjudication Award / Judgment on Application for Summary Enforcement

Legal Issues

  1. 1 Whether the adjudicator's decision was reached in breach of natural justice
  2. 2 Whether summary enforcement of the adjudication award should be refused or stayed due to the claimant's insolvency
  3. 3 Whether the Damages Based Agreement is champertous and an abuse of process

Ratio Decidendi

The adjudicator decided the case on a novel basis not argued by either party and without giving the defendant an opportunity to address it, amounting to a material breach of natural justice. The breach was material because the defendant's argument on the contractual payment machinery had a realistic prospect of success. Accordingly, the adjudication decision is unenforceable.

Court Disposition

Claim dismissed

Orders

  • Application for summary enforcement of the adjudication award refused