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Sydenhams (Timber Engineering) Ltd v CHG Holdings Ltd [electronic resource]

Language: English Publication details: 2007Subject(s): Online resources: Summary: [2007] EWHC 1129 (TCC), 3 May 2007. Considered whether an employer should pay a specialist contractor directly following the main contractor's insolvency. The defendant developer (C) had appointed contractor (R) for a hotel development in Bournemouth, but prior to completion of the works R went into administration. Before C appointed R, it contacted claimants (S) to obtain quotes for the timber frame, windows and internal joinery work. Disputes arose regarding payments to S, with S claiming it had a direct contract with C and was entitled to full payment by C, regardless of R's insolvency. C claimed that S was employed as a subcontractor to R and since R was in administration, C was unable to make direct payments to S. "Held": judgment for S. C was liable to make direct payments to S as it was found that S had a direct contract with C from the outset and never became subcontractor to R.
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Law report Virtual Online ONLINE PUBLICATION (Browse shelf(Opens below)) 1 Available 139847-2001

[2007] EWHC 1129 (TCC), 3 May 2007. Considered whether an employer should pay a specialist contractor directly following the main contractor's insolvency. The defendant developer (C) had appointed contractor (R) for a hotel development in Bournemouth, but prior to completion of the works R went into administration. Before C appointed R, it contacted claimants (S) to obtain quotes for the timber frame, windows and internal joinery work. Disputes arose regarding payments to S, with S claiming it had a direct contract with C and was entitled to full payment by C, regardless of R's insolvency. C claimed that S was employed as a subcontractor to R and since R was in administration, C was unable to make direct payments to S. "Held": judgment for S. C was liable to make direct payments to S as it was found that S had a direct contract with C from the outset and never became subcontractor to R.