Olga Mirimskaya v George Evans and Dezigner Living Ltd [electronic resource]
Olga Mirimskaya v George Evans and Dezigner Living Ltd [electronic resource]
- 2007
[2007 EWHC B11 (TCC), 5 September 2007. States that where an employer wrongfully terminates a contract, the contractor will normally be entitled to receive payment of monies due as advance payments, even though the relevant works have not been finished. M claimed sums from E, who was the owner of a property development company Dezigner Living(D) that had carried out refurbishment works on M's property. D counterclaimed for unpaid invoices. Initially, advance monies were agreed to keep the contractors in funds as the works progressed. M asked E to account for monies received and also for a formal contract. She refused to pay more until a schedule of payments linked to works was agreed. This did not happen. D and E refused to continue without further payments. M ejected D from the site and changed the locks. Each party alleged the other had repudiated the contract. Held: Mirimskaya had entered into two binding agreements which provided for advance payments so that the contractors could be kept in funds as the works progressed. M had repudiated the contract. However, it did not follow that D was entitled to be paid the remaining sums owed in respect of advance work to be carried out. No work had been done by D in relation to these costs. Thus there was a total failure of consideration in respect of the remaining costs and no damages due. D were entitled to the alternative claim for damages representing the loss of profit it would have made on completion of the works from M.
MIRIMSKAYA V EVANS AND ANOTHER
England and Wales--1543-
[2007 EWHC B11 (TCC), 5 September 2007. States that where an employer wrongfully terminates a contract, the contractor will normally be entitled to receive payment of monies due as advance payments, even though the relevant works have not been finished. M claimed sums from E, who was the owner of a property development company Dezigner Living(D) that had carried out refurbishment works on M's property. D counterclaimed for unpaid invoices. Initially, advance monies were agreed to keep the contractors in funds as the works progressed. M asked E to account for monies received and also for a formal contract. She refused to pay more until a schedule of payments linked to works was agreed. This did not happen. D and E refused to continue without further payments. M ejected D from the site and changed the locks. Each party alleged the other had repudiated the contract. Held: Mirimskaya had entered into two binding agreements which provided for advance payments so that the contractors could be kept in funds as the works progressed. M had repudiated the contract. However, it did not follow that D was entitled to be paid the remaining sums owed in respect of advance work to be carried out. No work had been done by D in relation to these costs. Thus there was a total failure of consideration in respect of the remaining costs and no damages due. D were entitled to the alternative claim for damages representing the loss of profit it would have made on completion of the works from M.
MIRIMSKAYA V EVANS AND ANOTHER
England and Wales--1543-