Published 02 October 2018
Breach of contract — failure to pay — application for summary judgment — application to strike out proceedings — construction contract — whether claim is statute barred by six year rule — certification of building — whether Certificate of Practical Completion properly issued — Limitation Act 1950. The plaintiff pleaded that the defendant had breached a construction contract by failing to make final payment as required by the terms of the contract, whilst the defendant argued that the Certificate of Practical Completion had not been properly issued and, therefore, that they were not required to make the final payment. The defendant further argued that the plaintiff's claim was barred as it was made outside of the six-year rule in the Limitation Act. The court found that it was not appropriate to issue a summary judgment as the question raised in regard to the issuance of the Certificate of Practical Compliance remained an issue and the court was not satisfied that the plaintiff's dispute was a contrived question of fact, nor was the dispute a pure question of contractual interpretation. The application to strike out was dismissed as it appeared on the face of the proceedings to be able to succeed. The applications were both declined, with the court noting that the issue of the Certificate of Practical Completion and the associated issues under the Limitation Act would pose a high hurdle but if the Certificate was not issued in accordance with the contract then the debt action for nonpayment would survive. Directions were made regarding the filing of memoranda for costs. Judgment Date: 15 December 2017.
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