Anjon Mallik discusses to new TCC ruling that sets a new precedent for residential contract disputes

Friday 26th April 2019

Anjon Mallik, partner and construction specialist, has giving his thoughts in the latest TCC ruling sets a new precedent for residential contract disputes

A ruling by the Technology and Construction Court (TCC) could pave the way for contractors to request adjudication on disputes with residential occupiers.

Construction contracts with residential occupiers were not previously applicable to the Construction Act, but a recent case relating to work to a residential basement could encourage more disputes over residential work being referred to adjudication, according to Anjon Mallik.

He said: “It has been well established that the adjudication procedure set out in the Housing Grants Construction and Regeneration Act (as amended), known as the ‘Construction Act’, does not apply to construction contract with a residential occupier. However, in a recent ruling, the TCC has made it clear that there is no blanket ban on adjudication concerning work to a residential dwelling.

“In the case of ICCT Ltd v Sylvein Pinto (2019) – which related to work to a residential basement – the contractor had applied for the appointment of an adjudicator in relation to unpaid monies and the homeowner engaged fully in the adjudication process. By doing so, and not reserving his position, the TCC said that the homeowner could not subsequently resist enforcement of the adjudicator’s decision.

“The Court’s stance could now encourage more disputes relating to residential dwellings being referred to adjudication. Unless jurisdictional objections are raised at the outset, the decisions of adjudicators will be rubber stamped.”