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SURREY AND SUSSEX HEALTHCARE NHS TRUST v LOGAN CONSTRUCTION (SOUTH EAST) LTD

Construction Law Reporter

SURREY AND SUSSEX HEALTHCARE NHS TRUST v LOGAN CONSTRUCTION (SOUTH EAST) LTD

Adjudication - Validity of interim payment notice and pay less notice - Substance, form and intent of notices

The claimant employed the defendant to refurbish various operating theatres, a recovery ward and associated works at a hospital which it owned and operated. The contract price was £4,388,000. Practical completion of the works was certified as having taken place on 25 August 2015. Subsequently, the defendant sent to the claimant what it claimed was an interim payment notice where the balance stated to be payable was £1,105,557.95 The claimant disputed the validity of the notice and it also claimed to have sent a valid pay less notice to the defendant which reduced the sum the defendant was entitled to claim to £14,235.43. The defendant disputed the validity of the latter notice.

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