NO BREACH OF NATURAL JUSTICE IN CONDUCT OF ADJUDICATION

In Volker Stevin Ltd v Holystone Contracts Ltd [2010] EWHC 2344, [2010] All ER (D) 82 (Oct) Mr Justice Coulson held that there was no basis, either in jurisdictional terms or in relation to natural justice, on which the adjudicator’s decision should not be enforced. In particular, he rejected the submission that the adjudicator had acted in breach of natural justice in permitting the claimant to submit new material and to change its pleaded case by reducing the sum it sought to recover from the defendant. The process adopted by the adjudicator had been a fair one. Further Coulson J held that the fact that the adjudicator had been made aware that the defendant had made a without prejudice offer of settlement did not lead to the conclusion that the adjudicator had been biased against the defendant. Finally it was held that the fact that enforcement of the decision might lead to the insolvency of the defendant did not give the defendant a defence in the enforcement proceedings.