Building Law Monthly
Natural justice and status of final account statement
Atalian Servest AMK Ltd v B W (Electrical Contractors) Ltd and B W (Electrical Contractors) Ltd v Atalian Servest AMK Ltd [2023] CSOH 14
In
Atalian Servest AMK Ltd v B W (Electrical Contractors) Ltd and B W (Electrical Contractors) Ltd v Atalian Servest AMK Ltd [2023] CSOH 14, Lord Sandison held that an adjudicator had not breached the principles of natural justice and that he had
not gone off on a "frolic of his own" in reaching his decision. In relation to the finality of the Final Account Statement,
it was held that the statement had been validly issued in accordance with the requirements of the contract, but that it did
not have the finality for which it was contended. The basis for the latter conclusion was to be found in the wording of the
particular clause in dispute but it should also be noted that Lord Sandison adopted a narrow construction of some of the leading
cases dealing with the finality of statements of this kind.