September 2013 Archive

Natural justice and adjudication

In July this year, the specialist Technology and Construction Court heard a case (ABB Ltd v Bam Nuttall Limited) regarding a breach of the rules of natural justice by an adjudicator. The case stemmed from a dispute over a claim for payment by Bam which went to adjudication and was settled in Bam’s favour. ABB challenged the adjudicator’s decision on the basis that it was invalid and amounted to a breach of natural justice. The court upheld ABB’s challenge. This type of case is unusual as most adjudicators’ decisions are enforced by the courts but it does flag the necessity of carefully considering any adjudicator’s decision before either taking steps to enforce it, or refusing to comply with it.
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