6 May 2020
ELECTRIX LIMITED v THE FLETCHER CONSTRUCTION COMPANY LIMITED NO 2 [2020] NZHC 918
- Citation
- [2020] NZHC 918
- Court
- High Court
No binding contract was formed: the parties never objectively intended to be immediately bound on essential terms and LOIs did not evidence such intent; Electrix provided services at Fletcher's request which Fletcher accepted with knowledge Electrix expected payment; accordingly Electrix succeeds on a non-contractual quantum meruit and is entitled to recover the reasonable cost of the services actually provided (market-related cost plus margin), assessed at $7,473,207 (GST excl) with simple interest at 5% p.a.; Fletcher Construction's counterclaims under the Fair Trading Act and for negligent…
- Existence of contract
- Letters of intent
- Early contractor involvement
- Amount deserved
- Valuation of services
- Market value vs actual cost