“…Save to the extent that the Employer may otherwise specify by notice to the Contractor, the Employer’s Agent shall have full authority to receive and issue applications, consents, instructions, notices, requests or statements and otherwise to act for the Employer under any of the Conditions.”
“If on receiving a notice and particulars under clause 2.24: .1 any of the events which are stated to be a cause of delay is a Relevant Event; and .2 completion of the Works or of any Section is likely to be delayed thereby beyond the relevant Completion Date, then, save where these Conditions expressly provide otherwise, the Employer shall give an extension of time by fixing such later date as the Completion Date for the Works or Section as he then estimates to be fair and reasonable. (ii) Clause 2.25.3: “The Employer shall in his decision state: .1 the extension of time that he has attributed to each Relevant Event; and .2 (in the case of a decision under clause 2.25.4 or 2.25.5) the reduction in time that he has attributed to each Relevant Omission.” .1 the extension of time that he has attributed to each Relevant Event; and (iii) Clause 2.25.4 provides for the Employer to fix a Completion Date earlier than a previously extended date either by operation of clause 2.25.1 or by Pre-agreed Adjustment if fair and reasonable and if a consequence of a Relevant Omission. (iv) Clause 2.25.5 then provides as follows: “After the Completion Date for the Works or for a Section, if this occurs before the date of practical completion, the Employer may, and not later than the expiry of 12 weeks after the date of practical completion shall, by notice to the Contractor, giving the details referred to in clause 2ꞏ25ꞏ3: ꞏ1 fix a Completion Date for the Works or for the Section later than that previously fixed if it is fair and reasonable having regard to any Relevant Events, whether on reviewing a previous decision or otherwise and whether or not the Relevant Event has been specifically notified by the Contractor under clause 2ꞏ24ꞏ1; or ꞏ2 subject to clauses 2ꞏ25ꞏ6ꞏ3 and 2ꞏ25ꞏ6ꞏ4, fix a Completion Date earlier than that previously fixed if that is fair and reasonable having regard to any instructions for Relevant Omissions issued after the last occasion on which a new Completion Date was fixed for the Works or Section; or ꞏ3 confirm the Completion Date previously fixed.” ꞏ3 confirm the Completion Date previously fixed.”
“As previously discussed, a 12 week EOT has been agreed with the client. I understand James is drafting a letter to formalise your request (including the proposed section completion date for the residential), so we will issue the EOT once received.”
“These issues are predominantly centred around a covid outbreak on site, ongoing transport strikes, inclement weather and issues with material sourcing/ delivery.”
“Should this request be granted there would be a revised Practical Completion date for the hotel15th September 2023 and for the Affordable18th August 2023 .”
“I have now spoken to the client and have approval to put forward the following proposal in relation to the on-going Party Walls matters and your two Extension of Time requests.”
“Following our conversation regarding a target date for completion of the addendum PW Award, I have discussed this with Simon and he in in agreement. Therefore the final proposals for the EOTs is as follows (amendment in red): 1. The additional Party Walls fees incurred as a result of the delay removing scaffold from Camden Laneway have been paid by the client in the sum of£57,145 . These costs will be split between HG and CLUK (£28,572.50 each). 2. We understand there will be additional costs associated with reinstating the scaffolding on a date yet to be confirmed. You suggested this will cost in the region of£40k . The client is prepared to split these costs with you, up to a maximum of£20k and subject to Exigere’s assessment and agreement of the final sum. 3. It is acknowledged that there will be an impact on the office progress if HG need to cantilever the scaffold from 1st floor, as per the attached sketch. Therefore, the client agrees in principles to awarding a further EOT once the addendum award is agreed and full impact of the programme has been assessed by HG and AY. 4. HG agreed that there will be no loss and expenses claim for the EOT in relation to item 3 above, subject to the addendum award being in pace by17 March 2023 . 5. HG also agree (as verbally advised previously) that there will be no loss and expense claim for the current 10 week EOT requested for the office contract. 6. Any EOTs issued incorporate all landlord and tenant variation requests issued to date. Furthermore the contractual external repair works to the office will not be subject to an EOT. In consideration of the above, we will issue the following EOTs: • Hotel Contract – 12 weeks. Revised PC date of12 September 2023 . Section completion of the Affordable housing will be changed to15 August 2023 (ie. 4 weeks prior to PC) • Office Contract – 10 weeks. Revised PC date of 28 April. Note: Doesn’t currently include any delay as a result of the scaffold/ Party Wall addendum as this will be issued separately once the full extent has been established. We trust the above is acceptable and would appreciate a prompt response in order that we can issue the formal paperwork this week. Please call if you would like to discuss further.” • Hotel Contract – 12 weeks. Revised PC date of12 September 2023 . Section completion of the Affordable housing will be changed to15 August 2023 (ie. 4 weeks prior to PC) • Office Contract – 10 weeks. Revised PC date of 28 April. Note: Doesn’t currently include any delay as a result of the scaffold/ Party Wall addendum as this will be issued separately once the full extent has been established. Please call if you would like to discuss further.”
“Having assessed your request and in accordance with clause 2.25 of the Building Contract, we hereby grant an Extension of Time for a period of 12 weeks.” (iii) The letter stated that the extension was granted having due regard to two Relevant Events – exceptionally adverse weather condition (clause 2.26.8) and strikes (clause 2.26.11). (iv) The letter identified the new completion dates of15 August 2023 for the Residential Works and12 September 2023 for the Hotel Works. (v) The letter concluded: “This Extension of Time has been issued subject to the terms of our email dated8 February 2023 , which were accepted by HG Construction on the same date. A copy of this email is enclosed.”
“the correct revised completion date for the Residential Section is24 August 2023 and for the Hotel Section is21 September 2023 in line with AY's Notification of Extension of Time issued27 September 2023 , or such other date as the Adjudicator reasonably determines.”
“8.6 Following proper consideration, on9 February 2023 (Tab-06) AY awarded HG an EOT in respect of what it considered to be Exceptionally Adverse Weather Conditions and Strike action – both being potential Relevant Events under clauses 2.26.8 and clause 2.26.11 of the Contract respectively. 8.7 Accordingly, the Completion Date for the Residential Section was extended from 10 May to15 August 2023 and for the Hotel Section from20 June 2023 to12 September 2023 . …”
“As explained in the detailed delay analysis performed by Secretariat for both the Residential and Hotel Sections (Tab 03 & Tab 04), AY has significantly over-awarded HG EOT on the Project and HG has thereby avoided being liable for additional LADs that it should otherwise have been liable to pay the Employer. The Employer does not seek to reverse these EOT awards and respects the decisions made by AY in this regard.”
“216. Clerkenwell, however, confirm at paragraph 8.12 as follows: “The Employer does not seek to reverse these EOT awards and respects the decisions made by AY in this regard.” 217. It follows that, respectfully, the Adjudicator must similarly accept the awards made by AY reflect the delays caused by exceptionally Adverse Weather Conditions and Strike.”
“71. HG asserts that it is entitled to further award of extension of time. 72. As further particularised in the Witness Statement of Mr. Chris Martin, HG and AY on behalf of the Employer entered into discussion in seeking to reach agreement on HG’s entitlement to extension of time. 73. As Mr. Martin explains, it was his view that an agreement was reached with AY that HG would be awarded an extension of time for both Sections until April 2024. 74. Unfortunately, however, it is understood that on the advice of the lawyers for the Employer, AY was instructed not to award any further extension of time. 75. At paragraph 8.13 of the Referral, Clerkenwell acknowledges that HG has sought extensions of time for two events being as follows: i. UKPN Event relating to the installation of an electric boiler and associated plant room redesign and enabling works, which the Employer accepts is a Change to the Works (UKPN/Boiler Event); and iii (sic). an EOT for the period "between the9 August 2024 and the actual Completion Date, whenever that is granted" on the basis that Building Control had confirmed they would be issuing a Building Control Final Certificate (Building Control Event). 76. As to the Building Control Event this relates to delays to practical completion due to, as HG asserts, delays caused by the requirements of Fairheat (Fairheat Event). 77. HG asserts, however, that there are two further delay events for which it [is] entitled to extensions of time as further particularised below.”
“I have not found the detail of the landlord or tenant variations referred to in item 6. The Extension seems to be drawing a line in the sand for all issues prior to9 February 2023 .”
“41. The Adjudicator was not tasked with deciding upon, nor did he decide, nor would he have jurisdiction to decide, that the AY Notifications of Extensions of Time, the subject of a binding agreement between the Parties,should be set aside. 42. Further, neither Party canvased that the agreement which concluded with the AY Notifications of Extension of Time was in anyway uncertain, or not binding and/or should be set aside, but rather Clerkenwell stated, for example at paragraph 2.16 of its Referral that“[t]he Employer does not seek to reverse these EOT awards and respects the decisions made by AY in this regard. 43. At Paragraph 49 the Adjudicator states in his Decision as follows: “49. This results in a revised completion date of12th November 2023 for the Residential Section 1 and21st October 2023 for the Hotel Section 2.” 44. It is submitted that paragraph 49 of the Adjudicator’s Decision includes a slip. The Adjudicator did not state at paragraph 49 or anywhere else in his Decision how he calculated the revised completion date of12th November 2023 for the Residential Section 1 nor21st October 2023 for the Hotel Section 2. 45. By deducting the 186 days and 123 days as decided as due by the Adjudicator from the revised completion date of12th November 2023 for the Residential Section 1 and21st October 2023 for the Hotel Section 2, one can however establish that the Adjudicator took the dates of10th May 2023 for Section 1 and20th June 2023 for Section 2, rather than the correct dates of 24thAugust 2023 for Section 1 and21st September 2023 for Section 2 as per the AY Notifications of Extensions of Time as agreed between the Parties (and acknowledged at paragraph 17 of the Adjudicator’s Decision).” “49. This results in a revised completion date of12th November 2023 for the Residential Section 1 and21st October 2023 for the Hotel Section 2.”
“I accept that the revised completion dates were derived from adding the extent of critical delay identified by the experts in respect of certain Relevant Events to the original dates for completion. I confirm that was intentional.”
“2. There was a binding agreement between the parties as a result of email correspondence on8 February 2023 (by reason of the email of Mr Harper, timed at 9:30, and the response to that email from Mr Purkiss, times at 14:13). 3. The adjudicator erred in law and/or fact in his Decision, in that he failed to take into account the binding agreement of8 February 2023 in calculating the Revised Completion Dates.”
“As a matter of principle, therefore, it seems to me that the law on this topic can be summarised as follows: 22.1 The adjudicator must attempt to answer the question referred to him. The question may consist of a number of separate issues. If the adjudicator has endeavoured generally to address those issues in order to answer the question then, whether right or wrong, his decision is enforceable: … 22.2 If the adjudicator fails to address the question referred to him because he has taken an erroneously restrictive view of his jurisdiction (and has, for example, failed even to consider the defence to the claim or some fundamental element of it), then that may make his decision unenforceable, either on grounds of jurisdiction or natural justice: … 22.3 However, for that reason to obtain, the adjudicator’s failure must be deliberate. If there has simply been an inadvertent failure to consider one of a number of issues embraced by the single dispute that the adjudicator has to decide, then such a failure will not ordinarily render the decision unenforceable: … 22.4 It goes without saying that any such failure must also be material: …”
“25. … But, subject to questions of withholding notices and the like, a responding party is entitled to defend himself against a claim for money due by reference to any legitimate available defence (including set-off), and thus such defences will ordinarily be encompassed within the notice of adjudication. 26. As a result, an adjudicator should think very carefully before ruling out a defence merely because there was no mention of it in the claiming party’s notice of adjudication. That is only common sense: it would be absurd if the claiming party could, through some devious bit of drafting, put beyond the scope of the adjudication the defending party's otherwise legitimate defence to the claim.”
“It will be noted that an inadvertent failure to consider one of a number of issues will “ordinarily” not render the decision unenforceable. This qualification admits the possibility that an inadvertent failure may in an extraordinary case bring the principle into play. No clear guidance is available about when an inadvertent failure will render the decision unenforceable. Since the essence of the adjudication process is that the real dispute between the parties should be resolved, it seems to me that the touchstone should be whether the inadvertent failure means the adjudicator has not effectively addressed the major issues raised on either side.... When confronted by a reasoned decision, the Court should tend to look for coherent reasoning underpinning the adjudicator’s decision rather than hastening to a conclusion that an omission renders a decision unjust. That said, however, the decision whether an adjudicator has fairly disposed of the dispute that was referred to him will depend upon the facts of each case.”
“… (iii) A responding party is entitled to raise any defences it considers properly arguable to rebut the claim made by the referring party. By doing so, the responding party is not widening the scope of the adjudication; it is engaging with and responding to the issues within the scope of the adjudication. … (vi) It is a matter for the adjudicator to decide whether any defences put forward amount to a valid defence to the claim in law and on the facts. (vii) If the adjudicator asks the relevant question, it is irrelevant whether the answer arrived at is right or wrong. The decision will be enforced. (viii) If the adjudicator fails to consider whether the matters relied on by the responding party amount to a valid defence to the claim in law and on the facts, that may amount to a breach of the rules of natural justice. …”
“seek to renege from the EOT previously awarded to HG under the Contract, despite Secretariat's detailed analysis which shows this EOT should never have been granted.”
“… The parties had agreed what the authority of their respective quantity surveyors was, namely to try and agree – and if possible to agree – certain figures: a classic role, one might have thought, for a quantity surveyor. But that is quite a different thing from being entitled to receive notices. …”
“Now, of course, these observations were directed to a slightly different point, but it seems to me nonetheless that the contractual functions of an agent are not to be extended beyond what he or she is expressly told to do or understood he or she should do, or whatever is reasonably incidental thereto.”