The following Construction guidance note provides comprehensive and up to date legal information covering:
Produced in association with 4 Pump Court
Insolvency proceedings will rarely be the most efficient or appropriate means of enforcing the decision of an adjudicator. The TCC’s enforcement procedures are specifically tailored for quick adjudication enforcement, and the test to be applied varies from that which is usually applied in insolvency proceedings.
Thus, in Harlow & Milner v Linda Teasdale, the TCC noted (when considering costs incurred in bankruptcy proceedings which had since been withdrawn) that:
it was not easy to understand why the bankruptcy proceedings had been issued. The appropriate way of enforcing the adjudicator's decision was to issue enforcement proceedings in the TCC, which has a procedure expressly tailored by the TCC to allow the prompt and efficient enforcement of adjudicators' decisions
save in exceptional circumstances, the most efficient way of enforcing the adjudicator's decision is by enforcement proceedings in the TCC
other ways of enforcing such decisions (such as, for instance, bankruptcy proceedings) are something of a blunt instrument and raise potential issues which have little or nothing to do with the decision which is at the heart of any enforcement application. Ordinarily, therefore, the issue of a statutory demand will not be the appropriate means of enforcing an adjudicator's decision
For more information on the TCC’s enforcement procedures, see Practice Note: Enforcing
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