DC COMMUNITY PARTNERSHIPS LIMITED AGAINST RENFREWSHIRE COUNCIL [2017] ScotCS CSOH_143 (22 November 2017)

DC COMMUNITY PARTNERSHIPS LIMITED AGAINST RENFREWSHIRE COUNCIL [2017] ScotCS CSOH_143 (22 November 2017)

The adjudicator failed to exhaust his jurisdiction by not addressing the defender's set-off claim for delay damages, a material defence within the scope of the adjudication. The adjudicator's general statements did not constitute adequate reasons. The failure was material and not severable; the adjudicator's decision is a nullity and cannot be enforced.

Citation
[2017] ScotCS CSOH_143
Parties
Pursuer: DC Community Partnerships Limited; Defender: Renfrewshire Council
Jurisdiction
Scotland
Judgment Date
22 November 2017
Procedural Posture
Commercial Construction Contract Dispute / Summary Decree Motion and Commercial Roll Debate
Outcome
Adjudicator's decision reduced ope exceptionis; defender assoilzied from conclusions of the summons; pursuer's pleas-in-law repelled; summary decree refused.
Legal Topics
Adjudication Enforcement, Jurisdiction Exhaustion, Set Off and Delay Damages, Payment Notices, Pay Less Notices
Construction Law Contract Law Adjudication Enforcement Jurisdiction Exhaustion Set Off and Delay Damages Payment Notices Pay Less Notices

Case Brief

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Parties

DC Community Partnerships Limited

Pursuer

Renfrewshire Council

Defender

Procedural Posture

Commercial Construction Contract Dispute / Summary Decree Motion and Commercial Roll Debate

Legal Issues

  1. 1 Did the adjudicator fail to exhaust his jurisdiction by not addressing the defender's set-off claim for delay damages?
  2. 2 Was a pay less notice required for the defender to advance a set-off claim in adjudication?
  3. 3 Is the adjudicator's decision severable if jurisdiction was not exhausted?

Ratio Decidendi

The adjudicator failed to exhaust his jurisdiction by not addressing the defender's set-off claim for delay damages, a material defence within the scope of the adjudication. The adjudicator's general statements did not constitute adequate reasons. The failure was material and not severable; the adjudicator's decision is a nullity and cannot be enforced.

Court Disposition

Adjudicator's decision reduced ope exceptionis; defender assoilzied from conclusions of the summons; pursuer's pleas-in-law repelled; summary decree refused.

Orders

  • Refusal of pursuer's motion for summary decree
  • Reduction of adjudicator's decision