Employer not entitled to withhold sums on housebuilding project (Muir Construction v Kapital)

Table of contents

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

Article summary

Construction analysis: The Outer House of the Court of Session found that an employer was not entitled to withhold retention money and had not issued a valid pay less notice. The judgment turned largely on the interpretation of the parties’ settlement agreement but contains useful comment on the distinction between defects and incomplete works, and on when costs are incurred.