Tube Lines goes to court over £327m row with London Underground

Tube Lines has started legal proceedings against London Underground following the dismissal of a £327m claim for its work on upgrading the tube earlier this year.

The PPP contractor has filed a claim form at the Technology and Construction Court, and now has six months to serve it, but Tube Lines said no final decision has been made on whether to pursue the matter.

In January an independent adjudicator rejected Tube Lines claim “in its entirety” that delays to the upgrades of the Northern and Jubilee lines were the fault of LU for changing contract terms. Tube Lines was also ordered to pay LU’s legal costs.

Legal experts said it was not uncommon for a settlement to be reached after an adjudicator’s decision, which was more conducive to both sides.

A Tube Lines spokesperson said: “The ruling through the adjudication process is an interim decision and a claim is not examined in as much detail as if it was going through the court.

“Whilst the adjudicator on the claim in question ruled in LU's favour he didn’t dispute that LU’s requests to include additional features to the core signalling system incurred additional costs and delays to the programme.

“What he said was that Tube Lines didn’t file claims notices in accordance with the PPP Contract.”