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Construction Law Reporter

GMC UTILITIES GROUP LTD v SUMITOMO ELECTRIC INDUSTRIES LTD

[2026] EWHC 885 (TCC), Technology and Construction Court, Simon Lofthouse KC, sitting as a Deputy Judge of the High Court, 16 April 2026

Subject to contract – Whether waived or not – Stay of proceedings in favour of arbitration

The parties entered into correspondence which was conducted under a heading that it was "without prejudice save as to costs and subject to contract". However, the letter that was said to reflect the agreement which the parties had reached did not contain such a stipulation and so the issue before the court was whether that letter should be understood as one that was itself subject to contract. The Deputy Judge concluded that it could not be so regarded and that it therefore contained a legally binding agreement.

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