Contractor goes to court over non-payment of £350k finders fee
Contractor Galliford Try Infrastructure has launched a legal battle against property developer Acorn Homes (Barking) in a row over payment.
Galliford Try was the main contractor for developer East Thames Housing for a mixed use development in Tanner Street, Dagenham. It says Acorn Homes agreed to pay Galliford for arranging an introduction to East Thames.
The finder’s fee of £350,000 was to be paid in two parts, with £184,000 being paid unconditionally, and the balance of £165,000 second instalment subject to the deduction of any Stamp Duty Land Tax at 4% paid on the purchase price of £8.3m according to a High Court writ.
Acorn Homes paid £40,819 in January 2008, and £3000 in interest, leaving an outstanding balance of £309,181, which it has refused to pay, the writ says.
Galliford Try, of Melville Street, Edinburgh says it has sought payment of the balance but that each time Acorn has refused to pay up. Now the company is suing for payment of the money as damages for breach of contract.