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Midland Expressway Limited v Carillion Construction Limited and others

Language: English Publication details: 2006Subject(s): Online resources: Summary: [2006] EWCA Civ 936, 15 June 2006. C appealed against a decision that three provisional sums contained in a contract between it and M should be deducted from the final contract price. In the course of litigation, C contended that under the terms of the contract, three provisional sums should be paid to it without adjustment. The judge held that these sums be omitted, and the actual sums added to the final contract price. "Held": a provisional sum was really a 'best guess', and when the actual value of the work was assessed it was added to the contract and the provisional sum deducted. If part of the work was not executed then the entire provisional sum relating to that work had to be deducted. There was no point in stating that the contract price included a provisional sum if that sum was payable anyway. The judge's decision was correct and the appeal was dismissed.
Holdings
Item type Current library Call number Copy number Status Barcode
Law report Virtual Online ONLINE PUBLICATION (Browse shelf(Opens below)) 1 Available 134561-1001

[2006] EWCA Civ 936, 15 June 2006. C appealed against a decision that three provisional sums contained in a contract between it and M should be deducted from the final contract price. In the course of litigation, C contended that under the terms of the contract, three provisional sums should be paid to it without adjustment. The judge held that these sums be omitted, and the actual sums added to the final contract price. "Held": a provisional sum was really a 'best guess', and when the actual value of the work was assessed it was added to the contract and the provisional sum deducted. If part of the work was not executed then the entire provisional sum relating to that work had to be deducted. There was no point in stating that the contract price included a provisional sum if that sum was payable anyway. The judge's decision was correct and the appeal was dismissed.