Balfour Beatty payment schedule appeal refused
15 November 2016
In February this year the now widely discussed decision of the Technology and Construction Court in the matter of Grove Developments Ltd -v- Balfour Beatty Regional Construction Ltd was issued. The facts behind the decision were that Balfour Beatty had entered into a building contract with Grove. The terms were broadly based on the JCT Design & Build 2011 payment mechanism but with various amendments. Whilst the parties had originally envisaged using stage payments (alternative A) they actually agreed to use the valuation and payment dates set out in a payment schedule. That schedule included dates for submission of interim valuations by Balfour Beatty as well as the issue of payment certificates and payless notices by Grove. Notably, the payment schedule ran out of payment dates in July 2015 immediately after the anticipated contractual Completion Date for the Works.