Our householder client had commissioned a design and awarded a contract for £241,000 for a high specification extension and refurbishment. The contractor fell into delay and eventually ceased work. He submitted a final account for £102,000 more than the contract sum.
Metcalfe Briggs Surveyors was engaged by the householder and assessed the true value of the final account at £239,000. We also determined that a substantial counterclaim of £45,000 for incomplete and low standard work was justified.
The contractor referred the matter to arbitration, during which the following issues were decided:
• Had the contract been terminated or repudiated? Found in favour of the householder that the contract had been repudiated by the contractor.
• Should the contractor be allowed back to complete the works? Found in favour of the householder, the contractor was not allowed to return.
• Payment due – found in favour of the householder that a substantial payment was due from the contractor to the householder.
• Standard of workmanship and completion – found in favour of the householder that there was £45,000 of incomplete or defective work.
• Damages – found in favour of the householder – general damages and costs were awarded.
Metcalfe Briggs provided detailed evidence during the hearing which formed a central part of the case decided by the Arbitrator. Our client started with an incomplete, sub-standard project with a demand for £102,000 over budget and was facing expenditure of £45,000 to complete the works. Success at arbitration meant our client was paid a substantial sum by the contractor and had all legal and professional fees reimbursed. The householder was free, with funds to complete the works using alternative contractors.
Success at Arbitration - Residential Dispute, Kent