Clark Electrical Ltd v JMD Developments (UK) Ltd
[2012] EWHC 2627 (TCC)
This case looked at whether a party can accept the
adjudicator's jurisdiction by paying the adjudicator's fee
up front. Clark had been engaged by JMD to carry out electrical
works on a new distillery. A dispute arose and Clark issued a
notice of adjudication. The adjudicator's terms required the
parties to pay a proportion of his fees on account. JMD were not
familiar with adjudication, but paid their share in any event.
JMD's advisors then wrote to the adjudicator asserting that the
works were not covered by the Construction Act and could not
therefore be referred to adjudication. The adjudicator agreed that
the works were not covered by the Act, but decided that there was
an ad hoc adjudication agreement because of the payment of the fee
and continued, his ultimate decision went in Clark's favour.
Clark then applied to have the judgment enforced. The Court held
however that the payment of the appointment fee by JMD did not
amount to a submission to the jurisdiction in the full sense and
Clark's claim for summary judgment failed.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
