*Full details Deko Scotland Limited vs (1) Edinburgh Royal Joint Venture, (2) Morrison Construction Limited, (3) Balfour Beatty Construction Limited (4) Haden Young Limited, 11 April 2003, Outer House, Court of Session.
Lord Drummond Young held that the power conferred on the adjudicator in rule 21A was confined to "legal costs". These were analogous to judicial expenses and were therefore liable to taxation. The same principals as the expenses of litigation (and adjudication) applied and so that part of the adjudicator's award would not be enforced until costs had been taxed by the auditor of court or were agreed. The pursuer's claim for the expenses of the adjudication was therefore irrelevant to the present proceedings. At paragraph 12 he stated that the remaining parts of the adjudicator's decision may be enforced.
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The general rule appears to be that the costs incurred by a party to an adjudication cannot be recovered, unless the parties have agreed in their contract (or in the adjudication proceedings) that costs can be recovered. In this case the contract provided the adjudicator with the power to award "legal costs", which he did. However, this judgment makes it clear that those legal costs are subject to taxation, and that part of the adjudicator's decision relating to costs will not be enforced until taxed.