Subcontractor makes contractor pay

Subcontractor CG Group has successfully pursued enforcement proceedings on behalf against construction and roofing contractor Breyer Group Plc.

The original dispute arose over payment issues related to a subcontract CG Group entered into with Breyer in 2012 for interior refurbishment works to a number of London apartments.

CG issued adjudication proceedings following non-payment of the final account and secured a favourable decision in July 2013 which was challenged by Breyer on natural justice grounds.

It was alleged that the adjudicator had gone off on a "frolic of his own" and committed a material breach of natural justice. This led to the instruction of Trowers & Hamlins to enforce the decision in the Technology & Construction Court on 23 August 2013 before Mr Justice Akenhead.

During the enforcement hearing the arguments put forward by the parties concerned whether the adjudicator had reached an intermediate position or had wrongly arrived at conclusions that should have been put to the parties during the course of the adjudication.

Theresa Mohammed, Senior Associate at Trowers & Hamlins who acted for CG Group, commented: "The Technology & Construction Court has reaffirmed that cases where it is found that there was a material breach of natural justice are exceptional and that the threshold for such a finding is high and quite deliberately so. We consider that the correct decision has been made."

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