The following Construction guidance note provides comprehensive and up to date legal information covering:
Produced in association with 4 Pump Court
This Practice Note discusses the following topics:
the ability of parties to raise fraud allegations during the adjudication
when fraud allegations will permit a party to resist enforcement of the adjudication decisions
fraud in the adjudication process itself
Special rules apply to fraud allegations in or in relation to adjudication, and to when an allegation of fraud may permit the losing party to say that the resulting decision is not enforceable.
If a party is aware of the relevant facts which support a challenge to a piece of evidence or an argument when the adjudication is running, then it can and should raise it in the adjudication. Fraud can be a defence in adjudication proceedings just as it can be in court or arbitration proceedings—clear and unambiguous evidence must be there to support it in just the same way, and it must be proved sufficiently clearly (and given the seriousness of the allegation, proved on the balance of probabilities to a convincing degree).
So, to take the obvious examples, it might be a defence for a responding party to assert that the underlying contract itself, into which the adjudication clause is embedded, was induced by fraudulent misrepresentation, or that a certificate relied upon by the claimant was procured
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