Hexagon secures stay in relation to termination account adjudication decision pending Supreme Court judgment (Providence v Hexagon)
Construction analysis: The Mayor’s & City of London Court granted summary enforcement of an adjudication decision relating to a termination account in favour of Providence, but stayed that judgment pending the Supreme Court’s upcoming decision on the validity of that termination in Providence Building Services Limited (Respondent) v Hexagon Housing Association Ltd (Appellant) UKSC/2024/0130. The court applied the Wimbledon v Vago principles in reaching its decision and held that, because of the interplay of the adjudication regime and the financial difficulties of the Providence, it would be inexpedient to allow the judgment to be enforced prior to the outcome of the hearing before the Supreme Court. The court took into consideration that, given that permission to appeal had been granted, Hexagon had at least an arguable case before the Supreme Court that Providence had not lawfully terminated the contract, the outcome in favour of Providence in the termination account adjudication is predicated on the validity of its contractual termination (the issue before the Supreme Court), and if Hexagon succeeds in the Supreme Court then Providence would not be in a financial position to repay the judgment.