Hexagon Housing Association has been granted permission to appeal to the Supreme Court in its legal dispute with contractor Providence Building Services Limited.
Hexagon and Providence have been engaged in a long running legal dispute about whether the contractor was wrong to terminate its contract with the housing association.
In the latest development Hexagon has been allowed to appeal a Court of Appeal ruling from August this year. The judgment overturned a High Court decision that found in Hexagon's favour in 2023.
The dispute arose from a JCT contract between Providence and Hexagon for the construction of buildings in Purley, South London, valued at £7.2m.
The key issue was whether Providence could terminate its contract after Hexagon failed to pay an invoice on time, even though Hexagon had paid up within 28 days of receiving a previous default notice.
Responding to the decision to permit Hexagon permission to appeal, Kerry Heath from Hexagon said: "We are pleased to have been granted permission to appeal by the Supreme Court and look forward to seeing a conclusion to this ongoing dispute. In the meantime, we remain focussed on completing the affected project which will provide 37 much needed affordable homes for rent."
Mark London, Senior Partner at Devonshires, who represents Hexagon, said: "We are grateful to the Supreme Court for granting permission to appeal on this important matter for the construction sector. We look forward to setting out our arguments in full in court."
No date has yet been set for the hearing, but it is expected to be held next year.
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