We can now act on damages based agreements as a result of recent changes to the law. This means that we can share the risks of adjudication with our clients and only get paid if our clients get paid.
Our fees will be based on a percentage of the damages recovered. That percentage will be agreed at the outset and will be determined on a case by case basis to ensure that our clients are getting a competitive deal with a fee that accurately reflects the risks involved.
Our comprehensive service includes enforcing any unpaid adjudicator’s award to ensure that payment is actually received before we get paid.
This is similar to the fee arrangements offered by some construction claims consultants, but with one very important difference: in the light of Walter Lilly Limited v Mackay and DMW Developments Limited (2012) only solicitors and barristers can guarantee that their advice and their communications with clients will attract legal advice privilege and will not have to be disclosed to the other side in any subsequent court proceedings.
What is adjudication?
Adjudication is a popular specialist forum for the resolution of construction and engineering disputes. It is a 28 day process and the adjudicator’s decision is binding unless and until it is overturned by litigation or arbitration. Litigation and arbitration typically takes between eighteen months and two years.
Unlike court proceedings and arbitration proceedings, a successful party will only recover its legal costs in an adjudication if it has a contractual right to do so, which is rarely the case.
For clients, the speed and relatively low cost of an adjudication often makes it the first choice for claims.
If you have any questions or would like more information please contact Jennie Matthews, Senior Solicitor and DWF.
This information is intended as a general discussion surrounding the topics covered and is for guidance purposes only. It does not constitute legal advice and should not be regarded as a substitute for taking legal advice. DWF is not responsible for any activity undertaken based on this information.