UNIVERSITY OF WARWICK v BALFOUR BEATTY GROUP LTD

[2018] EWHC 3230 (TCC), Technology and Construction Court, HH Judge McKenna, 11 December 2018

Contract – Interpretation of a contract – Whether entire works were to be complete before a single section could be certified as complete

The claimant sought a declaration that, on the proper construction of the definition of "Practical Completion" in the contract between the parties, the entire works did not have to be completed before a single section could be certified as complete. "Practical completion" was defined in the contract as "a stage of completeness of the Works or a Section which allows the Property to be occupied or used" and there then followed a list of further requirements set out at paragraphs (a) to (f) of the relevant clause. The term "Property" was defined as "the property comprised of the Completed Works". Largely in reliance upon the latter definition, the defendant submitted that it was not possible to achieve completion of one Section of the Works prior to completion of the whole of the Works with the consequence that the liquidated damages provisions in the contract were inoperable. The claimant disagreed with this interpretation and the dispute between the parties was referred to adjudication where the adjudicator accepted the submissions advanced on behalf of the defendant.