High Court ruling means Multiplex could claim liquidated damages
Multiplex has won a High Court dispute with Honeywell over the M&E firm’s late completion of its work at Wembley Stadium.
In a court verdict on Tuesday, Judge Jackson ruled that Multiplex’s contract with the subcontractor to install communication and control systems at Wembley was still valid despite the project’s lengthy delays. The decision means that Multiplex could be entitled to claim liquidated damages at a later date.
Honeywell argued that delays to the project meant its time was “at large” meaning that the firm is not bound by a contractual completion date but is only obliged to complete its works “reasonably and at progress with general construction”.
If a subcontractor’s time is ruled to be “at large”, the employer loses its right to recover liquidated damages for delays and can only seek general damages.
However, the judge found in favour of Multiplex, overturning a previous adjudicator’s verdict.
During the case, Honeywell was strongly critical of Multiplex’s programming of works, and claimed the contractor was responsible for the delays on the project.
Costs are yet to be decided.