Adjudication for Subcontractor, RLP Painting Contractors Ltd, following Dispute on Variations

Project Overview

Arbicon were contacted by Subcontractor, RLP Painting Contractors Ltd, after a dispute arose over an interim payment relating to surface preparation and painting works in connection with alterations to station canopies at Kettering and Wellingborough train stations. 

RLP entered into a subcontract totalling circa £340,000 +VAT and having completed the interim works, and various variations, claimed that, after payments already received, they were due an interim payment of circa £229,000 plus VAT, approximately £145,000 more than what the other party valued the works at.

Solution

Arbicon worked closely with our Client, RLP, to pull together substantiating evidence and documents that robustly set out their claims, showing clearly what works were initially in the subcontract and the additional variation works amounting to the gross value stated by RLP.

Following several letters to the other party, Arbicon referred the dispute to Adjudication to attain the true value of the works and recover payment for our Client.

The Adjudicator concluded that the other party had undervalued the works and awarded that RLP is entitled to an interim payment of £192,000 plus VAT and interest pursuant to the Late Payment of Commercial Debts (Interest) Act 1998. The Adjudicator also confirmed that the other party would pay the Adjudicator’s fees.

Arbicon were subsequently instructed by RLP to act as Chartered Quantity Surveyors, managing further interim payments and the Final Account.

Value

£192,000