Legal spat over 78-week delay on luxury home

Construction company Partner Projects is facing a £207,500 bill after a scheme overran by 78 weeks.

Corinthian Nominees is suing Partner Projects, who carried out construction and design works at 25 Henstridge Place, St John’s Wood, London, for the money, or for damages for breach of contract.

The scheme was to build a five-bedroom house and swimming pool, designed by Buller Greenbury Associates. The work should have been finished by 22 November 2004, and Corinthian was entitled to charge £5000 a week in damages for each week that the project overran, according to a High Court writ.

Completion of the project was delayed, and a dispute arose between Corinthian and Partner over its entitlement to a time extensions. The dispute was referred to adjudication, and the adjudicator decided that partner Projects was entitled to a time extension of 43 days, so that the project’s new finish date was 31 January 2005.

As work went on, Corinthian deducted £187,500 damages for delay, and the architect issued a certificate on 1 June 2007 saying that Partner had failed to complete the works by the next date, the writ says. The project was 549 days late – more than 78 weeks – and Corinthian demanded payment of damages as a result, the court will hear.

Partner’s liability for a 78 week delay amounts to £395,000 but as Corinthian has already deducted £187,500, a balance of £207,500 remains outstanding. But Partner, of 1 Brook Court, Blakeney Road, Beckenham, Kent, has failed to pay the money, in breach of contract, the writ claims.

Corinthian is seeking £207,500 as well as interest of £78.17 a day.