Urgent

Received an adjudication notice?

Act now. The timetable is short, it is set by the other side, and they have usually been preparing their case for weeks.

What it means

An adjudication notice (also called a notice of intention to refer a dispute to adjudication) is the formal start of an adjudication. Under the Housing Grants, Construction and Regeneration Act 1996, a party to most construction contracts can refer a dispute to an adjudicator at any time. Many contracts also contain a separate, contractual, right to adjudicate.

The adjudication process is designed to be fast, and to produce a decision that is binding unless and until the dispute goes to court or arbitration. The courts enforce adjudicators’ decisions quickly, and only in limited circumstances will they refuse to do so.

As a result, you should act promptly if someone sends you an adjudication notice, to avoid missing your chance to make your case and becoming bound by a wrong decision.

Typical Adjudication Timetable

Under the statutory Scheme, the timetable typically runs as follows. Your contract may provide for different dates, so it should be checked carefully.

  1. Day 0: adjudication noticeThe other side gives you written notice that it intends to refer a dispute to adjudication. The notice briefly describes the dispute, where and when it arose, and what the other side wants.
  2. Straight away: an adjudicator is requestedThe other side asks the adjudicator named in the contract to act, or asks a nominating body to propose an adjudicator to act. A nominating body must propose an adjudicator within five days of the other side’s request, and the adjudicator must confirm within two days of being asked whether they will accept the nomination.
  3. By day 7: referral noticeThe other side sends the appointed adjudicator its full case, with the contract and documents (including any witness statements and expert reports) it relies on, and must send you copies at the same time.
  4. Date determined by the adjudicator: your responseThe Scheme sets no fixed period for your response: it is a decision made by the adjudicator based on the complexity and volume of documents received from the other side. Typically, you are given between seven and 14 days to provide your response (including all documents you rely on).
  5. 28 days after the referral notice: the decisionThe adjudicator must provide a decision on the dispute within 28 days of the referral notice. This can be extended to 42 days if the referring party wishes (without your agreement), or longer if both parties agree.

What to do now

  1. Do not ignore the adjudication notice. If you do, the adjudication will go ahead without you, and you will still be bound by the decision.
  2. Note the date you received the notice, find the contract, and review any adjudication clause. Determine which rules apply to the adjudication.
  3. Think about jurisdiction straight away. If you believe the adjudicator should not be deciding the dispute, for example because there is no dispute yet or no right to refer the dispute to adjudication, the objection should be raised promptly. Taking part without reserving your position can mean losing the right to object to jurisdiction later.
  4. Gather the key documents and people: what (and who) is key will depend on the nature of the dispute, but documents are often not stored all in one place, and key people can be on leave. It’s important to get things lined up as early as possible.
  5. Get advice as soon as possible. The sooner you ask witnesses to start preparing statements, or experts to start reviewing documents and writing reports, the better chance you have of winning the adjudication. Remember that the other side might have spent weeks or months preparing its case, and you only have a matter of days to respond, so every hour counts.

How we can help

We act for responding parties in adjudications of every size. We will:

  • review the notice for jurisdictional or procedural flaws, and identify and prepare any early challenge to the adjudicator’s jurisdiction;
  • draft the response and, where one is permitted, the rejoinder;
  • help you to identify and instruct appropriate experts, and work with them to ensure their reports offer the best possible support for your case;
  • help identify, gather and present supporting documents and fact witness evidence;
  • if you lose, advise on whether, and how, the decision can be challenged or its enforcement resisted; and
  • represent you at any subsequent adjudication enforcement hearing in the TCC.

Daniel Shaw is a TECBAR-accredited adjudicator, so he acts as an adjudicator deciding other parties’ disputes. As a result, he knows what persuades an adjudicator, and what does not.

Fixed fees: for adjudications on the standard 28-day timetable, our fixed fee is normally £10,000 plus VAT (where the sum in dispute is under £100,000) and £15,000 plus VAT (where the dispute is worth up to £249,000). Terms and conditions apply.

Useful reading

This page gives general information only and is not legal advice. Timetables depend on your contract and the adjudicator’s directions.

Do not wait for the referral notice

The earlier we are involved, the more of the timetable we have to prepare your response.