{"id":447670,"date":"2021-11-09T13:11:42","date_gmt":"2021-11-09T13:11:42","guid":{"rendered":"https:\/\/www.constructionnews.co.uk\/?p=447670"},"modified":"2021-11-10T11:18:36","modified_gmt":"2021-11-10T11:18:36","slug":"court-declines-to-throw-out-73m-hospital-build-claim-against-multiplex","status":"publish","type":"post","link":"https:\/\/www.constructionnews.co.uk\/contractors\/multiplex\/court-declines-to-throw-out-73m-hospital-build-claim-against-multiplex-09-11-2021\/","title":{"rendered":"Court declines to throw out \u00a373m hospital-build claim against Multiplex"},"content":{"rendered":"

A court has ruled that a \u00a372.8m legal claim against Multiplex and its partners over alleged defects on a hospital build should not be thrown out because of a contractual clause favouring adjudication.<\/p>\n

Greater Glasgow Health Board is suing Multiplex, Brookfield Europe, Currie & Brown and Capita Property and Infrastructure over a series of defects it says were found at the Queen Elizabeth University Hospital in the city.<\/p>\n

These include alleged problems with its water system, ventilation, plant and building services capacity, glazing, doors, heating, atrium roof and other issues at the facility, which opened in 2015.<\/p>\n

The \u00a3845m hospital build is also the subject of a public inquiry<\/a> after the hospital\u2019s environment was found to have at least partly contributed to the deaths of two children<\/a>, one of whom died after being infected by a rare bacterium.<\/p>\n

The NHS\u2019s contract with Multiplex was NEC3 Engineering and Construction, option C, while Capita\u2019s was NEC3 Professional Services, option A. Each included a clause on dispute resolution, which stated any dispute would be settled through adjudication before any legal action could take place.<\/p>\n

Multiplex, Capita and Brookfield Europe argued in court that the health board\u2019s legal claim should be completely dismissed because the issues have not yet been to adjudication. Brookfield acted as the guarantor of Multiplex\u2019s liability to the client. Currie & Brown\u2019s contract did not have the same clause within it.<\/p>\n

Lawyers for Greater Glasgow Health Board argued that the issues at stake were not those that were intended to be adjudicated, and as adjudications could only deal with one dispute at a time, it was not an appropriate means of resolving all of the issues for which it was claiming. Consultant Currie & Brown agreed with the NHS\u2019s view on adjudication being the wrong course of action in the case.<\/p>\n

The other three companies argued that complex disputes could have been specifically excluded from the contract in this area but were not and so the contract terms stood.<\/p>\n

Judge Lord Colin Tyre at the Outer House of the Court of Session ruled that the legal claim did not have to be totally thrown out because of the contract terms, but that the adjudication process should continue before court gets fully involved.<\/p>\n

He suspended the court action until the adjudication process has taken place.<\/p>\n

\u201cIn my opinion the appropriate course is to sist [suspend] the action to await the outcome of the adjudication(s). I agree that that is the usual course and I see no reason to depart from it,\u201d Lord Tyre said.<\/p>\n

Though he noted that no moves towards adjudication have actually been made by any party yet, and \u201cit is conceivable that all parties may yet decide that it would be preferable to allow the court action to proceed\u201d.<\/p>\n

\u201cAs was pointed out during the hearing, the existence of the court proceedings may expedite the recovery of documents for the purposes of an adjudication,\u201d he said.<\/p>\n

Multiplex, Currie & Brown and NHS Greater Glasgow & Clyde all declined to comment on the judgement.<\/p>\n","protected":false},"excerpt":{"rendered":"

A court has ruled that a \u00a372.8m legal claim against Multiplex and its partners over alleged defects on a hospital build should not be thrown out because of a contractual clause favouring adjudication. Greater Glasgow Health Board is suing Multiplex, Brookfield Europe, Currie & Brown and Capita Property and Infrastructure over a series of defects …<\/p>\n","protected":false},"author":53981,"featured_media":406992,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"ep_exclude_from_search":false,"footnotes":""},"categories":[578,541],"tags":[],"class_list":["post-447670","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legal","category-multiplex","issue-12-november-2021"],"yoast_head":"\nCourt declines to throw out \u00a373m hospital-build claim against Multiplex | Construction News<\/title>\n<meta name=\"description\" content=\"A court has ruled that a \u00a372.8m legal claim against Multiplex and its partners over alleged defects on a hospital build should not be thrown out because\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, 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