Construction Claims Consultants

Project Overview

Arbicon negotiated a Settlement Agreement to recover money for a Subcontractor Client who was in dispute with a Main Contractor over payments.

Our Client, Broadstairs Scaffolding Ltd, had undertaken works in Ramsgate, consisting of the erection, hire and dismantle of scaffolding on behalf of a Main Contractor.

The Parties were in dispute concerning the works, the sums due, and to whom the sums were payable to. Broadstairs considered sums were due to them, whilst the Main Contractor believed they were due sums from Broadstairs.

The subcontract works commenced on a verbal contract only between the parties, based on implied statutory terms. 

Solution

Arbicon worked closely with our Subcontractor Client to establish what payments were due. An interim and final account was submitted to the Main Contractor for payment, which was disputed with a Pay Less Notice and alleged contra charges.

As there was no written contract, there were no express terms as to programme, hire periods, payment, methodology, specification or design. This lack of express terms was a fundamental cause of the dispute as each party had differing views on their respective rights and obligations.

The parties agreed to enter negotiations with the intent of reaching a full and final settlement of the account. Successful negotiations resulted in a Settlement Agreement, with our client obtaining payment of £30,000 +VAT.

Value

£30,000 +VAT

Arbicon Comment

"We were pleased to assist our Subcontractor Client, Broadstairs, in negotiating a successful Settlement Agreement with the Main Contractor. Although our Client had the right to take the payment dispute to Adjudication, they chose to amicably resolve the matter through negotiations, and we were happy with the outcome achieved in obtaining payment for them."

- Simon Dunkling, Director, Arbicon ADR Ltd

Client Comment

"We wanted to recover payments due but were keen to maintain a good relationship with the Main Contractor, Arbicon allowed just this. Arbicon were professional throughout the negotiations and we are thankful to them for the result achieved with the Settlement Agreement and the payments obtained for us."

- Luca Licata, Director, Broadstairs Scaffolding Ltd