High Court guidance given on adjudication

The High Court has given fresh guidance on the rights of parties to launch adjudication when other moves are already underway to resolve the dispute.

Last week in the Technology and Construction Court, Mr Justice Dyson rejected claims by Breen Property that Herschel Engineering was not entitled to seek adjudication in a dispute over payment for electrical and other work carried out on a property in London, SW7.

An adjudicator had awarded £17,355 to Herschel but Breen claimed that the adjudication should have been blocked. Breen argued that the adjudication should not have taken place because of county court proceedings, which were brought against the property company by Herschel and which were subject to a pending appeal.

Dyson said Breen claimed that the court should not countenance two concurrent proceedings in respect to the same course of action.

He dismissed Breen's challenge and granted summary judgment to Herschel in respect to the sum awarded by the adjudicator. Dyson ruled that he did not accept that the provisions under which the adjudication were brought required a reference to adjudication to be made before litigation or arbitration proceedings were commenced. Nor did Dyson consider that such proceedings should not start until after completion of adjudication.