Haden Young is suing Laing O’Rourke for £3.5 million in a row over the construction of the £113 million Ricoh Stadium for Coventry Football Club.

The project was delayed by problems including a fire at the site and the m&e contractor had to accelerate its programme, using more labour and working on multiple workfaces to achieve practical completion before the start of the 2005 football season.

Haden Young claims that although it costed the project at £11.3 million in an original tender, this was never turned into a binding contract and the total cost of works came to £14.6 million. It is suing for the shortfall of £3.2 million in payment, plus damages caused by Laing O’Rourke’s failure to pay and interest on the outstanding amount. The m&e contractor claims that Laing O'Rourke instructed it to start work in anticipation of it being awarded the subcontract but this didn't happen.

Haden Young’s scope of work included the installation of ventilation, fire alarm, security, lighting and heating systems. The stadium reached practical completion on 19 August 2005, one month later than planned.

In its High Court writ, the m&e contractor says: “Tasks were stopped and started depending on the overall demands of the project, and the progress of other trades. Each time this occurred time was lost.

“As a result of the delays to the m&e works, acceleration measures were put into effect that required an increased labour force and progress on multiple faces at the same time.”

Laing O’Rourke declined to comment.