Payment provisions

Brewer, G.

Payment provisions - 2004 - Contract Journal 424(6481) 23 June 2004, 22(1) .

Discusses "Alstom Signalling Ltd v Jarvis Facilities Ltd" ([2004] EWHC 1232 (TCC), [2004] All ER (D) 02 (Jun)), which concerned payment and withholding issues under cost reimburseable contracts. A subcontracted J to supply signalling equipment for a Railtrack project. Under the IChemE Model Form of Conditions of Contract for Process Plants, the subcontract stated J would be paid what the works cost, plus a management fee. When a dispute arose regarding the terms of the contract, J claimed it should be paid the entirity of what was due and the case went to adjudication. J was awarded an interim amount against A, but A appealed when dispute arose over the final amount. The claimant A sought a declaration regarding the terms of the subcontract with J and to recover a contribution to the total loss it claimed to have suffered under the main contract. "Held": J was not entitled to a summary judgment and the adjudicator's decision was set aside. Judgment available to view at www.bailii.org.


ALSTOM SIGNALLING LTD V JARVIS FACILITIES LTD
COST REIMBURSABLE CONTRACTS
ICHEME MODEL FORM OF CONDITIONS OF CONTRACT FOR PROCESS PLANTS
ADJUDICATION
BUILDING CONTRACTS
WITHHOLDING NOTICES