ADJUDICATION CLAUSE NOT AN UNFAIR CONTRACT TERM

Westminster Building Co Ltd v Beckingham [2004] EWHC 138 (TCC) (unreported, 20 February 2004)

In Westminster Building Co Ltd v Beckingham [2004] EWHC 138 (TCC) (unreported, 20 February 2004), Judge Thornton QC held that an adjudication clause in a contract between a construction company and a householder was not an unfair term for the purpose of the Unfair Terms in Consumer Contract Regulations 1999. The clause did not contravene the requirement of good faith, given that it had been put forward by the householder’s agent, and it was held not to constitute a significant imbalance as to the householder’s rights. Judge Thornton also rejected the submission that the adjudication clause had not been incorporated into the contract between the parties.