"I have to say that the present status of the action is not at all satisfactory. It does seem to me plain, from the terms of the order, that his Honour Judge Bowsher QC., made on28th March 2003 , that what he desired and intended was that the Claimant set out in the Scott Schedule not only details of alleged breaches but also a detailed case as to damages as a result of the breaches. In my judgment it was both necessary and appropriate for the Claimant to have set out in the Scott Schedule the sort of material and detail that is now to be found in section 11 and Appendix K. In my judgment Justin Mort correctly characterises that Order made by his Honour Judge Bowsher Q.C., as providing the Claimant with a second opportunity to set forth its case in respect of damages. I accept the submissions of Justin Mort that the Scott Schedule in the form that I have referred can only reasonably have been intended and understood by the Defendants as doing that. I accept that Appendix A was understood as intended, and could have only reasonably have been understood as intended, to set out the Claimant's case as to why the outturn costs should have been£6.7 million . It is correct that Appendix A has the title which I have quoted previously and that the only understanding of Appendix A is that analysis. John Virgo states that it was an analysis of the kind of cost estimate the Defendant should have undertaken before advising the Claimant on the likely cost of the works. As I now understand it, that exercise – [and that means Appendix A to the Scott schedule] – was completely without purpose unless it was originally undertaken to be the Claimant's case on damage. The whole thing therefore appears to have been a complete waste of time. In reality Mr Jervis, when coming to prepare his expert report, must have recognised the force in the answers prepared by the Defendant to Appendix A. He must therefore have sought to justify his figure of£6.7 million in a completely different way as dealt with at section 11 and Appendix K."
"Notwithstanding the submissions of Justin Mort, which is certainly supported by the past history of the litigation, it does seem that it would not be just to the Claimant to deny them any opportunity to rely, whatever benefit it may do them, on Appendix K and section 11 of Mr Jervis' report. At the same time justice would only be done to the Defendant by giving it the opportunity to first raise questions on the underlying assumptions used in section 11 and Appendix K."
"40. Please provide details of any calculation that you used as at the time of preparing your report dated29th March 2004 in order to reach the figure of£60,000 , including but without prejudice to the generality of this question: i) any assessment of the quantity of work involved, (including any assessment of the works omitted from this item in the course of the scope reduction); ii) any assessment as to rates appropriate to such work; iii) any rounding up or down; iv) any assessment of cost to take into [account] the conditions in which the work was to be executed." i) any assessment of the quantity of work involved, (including any assessment of the works omitted from this item in the course of the scope reduction); ii) any assessment as to rates appropriate to such work; iii) any rounding up or down; iv) any assessment of cost to take into [account] the conditions in which the work was to be executed." 13. Then underneath, in brackets, the questions went on: "(For the avoidance of doubt, if in fact the figure of 60,000 is not based upon any calculation as such but is an essentially arbitrary assessment, then please say so. You are not being asked now to justify the figure of 60,000 retrospectively, only to clarify what if any justification you had at the time that you had prepared the report and to provide particulars of such justification available at that stage.) "41. Please provide copies of any record made of such calculation used for this item in the preparation of Appendix K of your report. "42. If you did carry out a calculation but have not made or retained any written record of the calculation, please say so. "43. Please provide like clarification as has been requested in relation to paragraph (2)"
"Please provide details of any calculation that you used as at the time of preparing your report dated the29th March 2004 in order to reach the figure of 150,000. (For the avoidance of doubt, if in fact the figure of 150,000 is not based upon any calculation as such, but is an essentially arbitrary assessment, then please say so). "47. Please indicate what, if any, contribution to the total figure of 150,000 was made by each of the elements listed, namely disruption, lack of design, design development and increased phases."
"In summary, although I have demonstrated that a number of the rates in the Jervis estimate are low, they do not add up to a significant total, particularly when offset by the overpriced riblath and the final unspecified 2.5 per cent to finishings. The difference between Mr Jervis' estimate and the final account cannot therefore be explained by underpricing of the individual rates." 23. A similar point arises at paragraph 4.26 where Mr Symonds says: "
"The measurements for the balance of the areas outside the Argos area do not affect the figures with any significance. The pricing and assumptions of the balance of the work, though I find much to comment upon, again will not of themselves explain why the project cost what it did. All of these minor adjustments are insignificant when considered against the items that have been omitted from Mr Jervis' figures."
"As an entirely separate exercise, in February 2004 I carried out an exercise to hypothetically cost the scheme as built to arrive at a value for what it would have cost if different advice had been given by ASM and acted upon by PSW. This exercise is recorded in Appendix K."
"The constituent parts of Appendix K were, I believe, explained in considerable detail in my 240 page report of the20th March 2004 and in my replies to the written questions. In terms of the figures, they appear at Appendix K. They are a mixture of either figures that reflect actual cost incurred by EBC. Where that information is available, it has been extracted and assessed by myself as to its reasonableness. Where reasonable, they have been used in Appendix K. Where that information is not available, I set out my assessments of what that cost ought to have been by reference to quantities, as far as I know them, and rates that either did apply, because I know that from the documents, or alternatively reasonable rates, for example Spon's rates. In other words, all my assessed figures are the product of an appraisal by me as to the reasonableness of the known outturn cost of the bill of quantity cost."
"At the risk of labouring the point, as a quantity surveyor with 45 years' experience, I have put forward Appendix K as an assessment of a reasonable cost for the scheme of works actually carried out at Derry's Cross. I repeat that I am of the considered opinion that the scheme of works carried out could, if managed differently, have been executed for that cost."
"I am an experienced quantity surveyor. This is my estimate. You should accept it."
"I do not want his evidence to change again. This really is the last chance saloon."