The High Court has refused to award summary judgment in a building company’s claim for payment against the Family Housing Association.
Following subsidence repairs carried out by Concrete Foundations Ltd to an FHA property in Muswell Hill, London N10, the FHA’s insurer settled 47% of the bill. Concrete sought payment of the outstanding amount from the FHA.
The FHA subsequently refused to pay the sum owing on the basis that loss adjuster Cunningham Lindsay, which had acted on its behalf in seeking insurance cover on the building and in commissioning the work, had failed to secure the appropriate cover. It maintained that, in the circumstances, Cunningham was liable.
Concrete argued that Cunningham had had no ostensible authority to act for the FHA. The Central London County Court refused to grant summary judgment, and Concrete appealed.
However, Nelson J has held that the county court judge had been “correct in his conclusion that this was not a suitable case for summary judgment”, and has directed the matter to be heard in full.
Concrete Foundations Ltd v Family Housing Association Queen’s Bench Division (Nelson J) 14 January 2004.
References: EGi Legal News 14/1/04
