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Adjudication payment notices—the common sense approach prevails (1st Formations v Lapp)

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Published on: 24 June 2025

Published by a LexisNexis Construction expert

Table of contents

What are the practical implications of this case?
What was the background?
What did the court decide?
Case details

Article summary

Construction analysis: The Technology and Construction Court (TCC) took a commonsense, practical approach to interpreting a payment notice under the Housing Grants, Construction and Regeneration Act 1996 (HGCRA 1996) and Part II of the Scheme for Construction Contracts (the Scheme), holding that documents submitted by the payee were obviously identifiable as an interim application and set out the sum claimed as due and the basis on which such sum was calculated. The TCC also held that a payment notice will not be invalid if it requests a sum less than the amount stated as due. Where a payment notice contains an erroneous due date this would be a matter for the other party’s response and would not go to the validity of the application.

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