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Jurisdiction(s):
United Kingdom

Scotland: adjudication enforced despite clerical errors; adjudicator need not address every argument where route clear; set-off and liquidated damages rejected via NEC3 prospective assessment

Published on: 31 January 2024

Published by a LexisNexis Construction expert
Legal News
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Article summary

UK Grid Solutions Ltd and Amey Power Services Ltd v Scottish Hydro Electric Transmission Ltd [2024] CSOH 5

What are the practical implications of this case?

This decision reiterates the governing principles for assessing whether an adjudicator overlooked a defence advanced by the respondent. Where an adjudicator does not engage with a defence that would have been significant to the resolution of the dispute, the resulting award will be incapable of enforcement (Construction Centre v Highland Council). That said, the lesson emphasised here is that an adjudicator is not obliged to tackle every point ventilated in the referral, so long as their reasoning sufficiently discloses the route to the conclusion reached. In addition, the judgment confirms that the court will not decline to enforce merely because the terms of the adjudicator’s orders contain mistakes, provided it remains plain what orders were in fact intended.

What was the background?

UK Grid Solutions Ltd and Amey Power Services Ltd created a joint venture (the JV). In October 2018, Scottish Hydro Electric Transmissions Ltd appointed the JV to construct an electricity substation close to Fort Augustus. The appointment concerned works at an electricity substation site situated near Fort Augustus there...

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