ADJUDICATION AND NATURAL JUSTICE

Costain Ltd v Strathclyde Builders Ltd, 2004 SLT 102

In Costain Ltd v Strathclyde Builders Ltd , 2004 SLT 102, Lord Drummond Young in the Outer House of the Court of Session summarised the principles of natural justice that are applicable to adjudications conducted in Scotland. He emphasised the need not only to ensure that justice is done but also that it is seen to be done. On the facts he concluded that the principles of natural justice had been violated in that the adjudicator had informed the parties that he intended to raise a particular issue with his legal adviser but had not told them what it was that he intended to discuss with his adviser. He therefore concluded that the pursuers were not entitled to enforce the decision of the adjudicator.