The case

Maelor Foods Ltd vs Rawlings Consulting (UK) Ltd [2018] EWHC 1878 (QB)

Before His Honour Judge Eyre QC

High Court of Justice Business and Property Courts in Manchester Technology and Construction Court

Judgment delivered 6 July 2018 

The facts

Under a contract dated August 2016 Maelor engaged Rawlings to carry out works at a processing plant in Wrexham. The contract was based upon the 2011 JCT standard form.  

Article 7 in the contract provided for adjudication. Article 8 provided that any dispute or difference of any kind, except for disputes or differences in connection with the enforcement of a decision of an adjudicator, was to be referred to arbitration. 

Following a dispute over the validity of an interim payment notice dated 17 April 2018, Rawlings commenced adjudication. Maelor challenged the adjudicator’s jurisdiction on grounds that the interim payment notice included sums payable in connection with other exchanges between the parties occurring before and after August 2016 that did not form part of the contract.  Maelor also contended that the interim payment notice was invalid having been preceded by an interim payment application that Rawlings acknowledged was non-compliant with the contract.  

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