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Chartered Quantity Surveyors | Dispute Resolution Services

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J E PRICE FRICS, FCIArb, FInstCES : EXPERIENCE AS MEDIATOR

NO.

PARTIES

BRIEF DESCRIPTION OF PROJECT AND VALUE

NATURE OF DISPUTE

APPROX. AMOUNT IN DISPUTE

RESULT

1

(September 1992)
National Building Contractor and National Specialist Mechanical and Electrical Subcontractor

£2m Design and Build Mechanical & Electrical Subcontract on £10m Design and Build Leisure Centre Contract

Numerous and complex claims and counterclaims re delay and disruption. Also involving “defects” disputes.

Claim         1,200,000
Counterclaim 530,000

TOTAL      £1,730,000

Plus complex “Defects” issues

Fully resolved in a two day mediation.

2

(December 1992)
Specialist Electrical Control Systems Company and a Water Engineering Company

Model Form A Subcontract Electrical Control Systems

Extensions of time, acceleration costs, increased costs, loss and expense claims, financing charges, counterclaim for liquidated damages, determination of Sub-Subcontract.

Main claim £100,000

Counterclaim for liquidated damages

Settled in the process of agreeing preliminary mediation arrangements with the parties and just after preparation of the Summaries of Cases.

3

(March/April 1993)
Korean, Chinese and German Developers, Government Officials, Building Contractors and Consultants

Civil Engineering infrastructure works, major hotel, office and apartment complex in China. Contract value approximately £150 million

Multi-party disputes involving disagreements concerning design, construction costs, delays, loss of revenue, specification, quality of workmanship, etc.

£15 million

Appointed to prepare independent expert’s report. Whilst in China agreed with the parties to adopt mediation techniques and held a series of meetings, both jointly and separately, with various parties for one week. All outstanding disputes were resolved.

4

(June 1993)
Tripartite Joint Venture Company involving Arabian, Turkish and Italian Interests

Desalination/power generation plant located in the Middle East.

Disputes between two of the three joint venture parties as to split of cost liabilities for different parts of the construction works.

Approx $(US) 2.1 million

Settled after a two day mediation followed by Mediator’s adjudication on certain points, as requested by the parties, followed by a further one day mediation which achieved settlement

5

(1994)
International Hostel Organisation 

London Based Building Contractor

New Hostel Accommodation

Final account dispute (involving several hundred disputed account items), Contractor’s loss and expense/damages claims. Employer’s Counterclaims for liquidated damages and defects

In excess of £1m

Four days of mediation followed by agreed exercises by QS’s of both parties, followed by three further single day mediation meetings. Mediated settlement reached.

6

(April 1996)
Civil Engineering Contractor and Specialist Bridge Lifting Contractor

Repair Works to Motorway Bridges

Claims and Counterclaims re late info., slow progress, thefts, access problems, lack of notices, variations, late approvals, construction errors.

£390,000

Fully resolved in a one day mediation.

7

(April 1996)
Large International Contractor (Power Transmission. Electrical Installations) and Joint Venture Subcontractor for Electrical Installations

Large Bulk Handling Terminal

Claim and counterclaim re variations, prolongation, premium time, lost productivity, finance costs, contra charges, lack of possession, late design, changed working methods, LAD’s, Scope of Work.

£1.5 million

Settled in September 1996 after a one day mediation and four months further dialogue with the parties.

8

(August 1996)
Tripartite dispute. District Council, Building Contractor, Specialist Glazing Contractor

Squash Courts in District Council Leisure Centre

Alleged ‘failure’ of glass walls to squash courts. Conflicting evidence and testing by expert witnesses. Costs of testing, experts reports, loss of use, financing costs, replacement costs, legal fees.  Validity of ‘promises’ from competitor specialists. Consideration of revised design solutions.

£122,000

After a one day mediation the parties mutually agreed to withdraw from the mediation, primarily because the expert witnesses were diametrically opposed.  It was felt by both main parties that a return to mediation might be possible at a future date.

9

(September 1996)
Government Agency, Worldwide Procurement and Forwarding Company

Hospital in Africa

Disputes concerning qualiy of goods supplied and freight packing/storage provisions/ damage to switchgear

£77,000

Settled in a one day mediation.

10

(March 1997)
Machine Tool Company
Manufacturing Company

Supply of Machine tools £15,000.

Breach of Contract, Repudiation, Loss of Profit.

£10,000

Settled in a three hour mediation under the Central London County Court Mediation Pilot Scheme.

11

(May 1997)
Tripartite dispute.  University, Building Contractor, Architect (P.1. Insurers)

University Student Accommodation  £15 million

Contractor’s claim for loss and expense arising from the late issue of information.  University’s Counterclaim for LAD’s for late completion by the Contractor.  University’s claims against Architect for liability for Contractor’s loss and expense as a result of late issue of information by the Architect.  Architect’s claim against University for additional fees.  University’s claims against Architect for lost income and costs incurred in providing alternative accommodation for students.

£5.4 million.

Settled between University and Contractor after two days of mediation with a seven day gap.  Dispute between University and Architect still to be resolved.

12

(July 1997)
Property Company
Building Firm

Construction of Lift Shaft
£16,000.

Disputes concerning rates for variations and extra works and work not in accordance with specification.

£6,000

Settled in a three hour arbitration under the Central London County Court Mediation Pilot Scheme

13

(July 1997)
Housing Tenant
Housing Trust

Landlord and Tenant Dispute

Dispute concerning the pruning of trees, damage to garden lawn and shrubs by workmen.  Repairs of fence.

Written undertakings required re maintenance of trees.  Supply of replacement shrubs.  Replacement of fence with a wall.

Settled in 4 hour mediation under the Independent Housing Ombudsman’s Scheme with CEDR as agent.

14

(February 1998)
Housing Tenant
Housing Trust

Landlord and tenant dispute.

Dispute concerning damp proofing work, compensation for discomfort, rent relief, electrical costs.

£700

Settled in 4 hour mediation under the Independent Housing Ombudsman’s Scheme with CEDR as agent.

15

(February 1998)
Government Agency
Consulting M&E Engineers
(P I Insurers)

Design and supervision of mechanical and electrical installations on office building project.

Dispute concerning professional negligence action under Contract and under warranty to the eventual building owner.

£1.1 million including legal costs.  Counterclaim including legal costs in excess of £300,000.

The mediation was convened only 2 weeks before the commencement of the trial.  Both parties made concessions but the matter still proceeded to trial.  Mediation was used too late in the dispute.

16

(February 1998)
Building Employer (Commercial Company).
Project Managers
Consultant Architects
Quantity Surveyors
M&E Engineers
Structural Engineers
Management Contractor
Works Contractors

New lecture theatre complex.

Any disputes connected with the project.

 

Appointed in advance of construction to act as mediator as and when any disputes arise throughout the design, construction and maintenance periods.

17

(March 1998)
Exhibition Contractor
Exhibition Display Company.

Stands for National Exhibitions at the NEC.

Claims and counterclaims concerning underpayments, quality of work, late completion, variations, work by other contractors, remoteness of damages paid to third party, interest charges, legal costs.

Claim £38,000. Counterclaim for £25,000 (including legal costs).

Settled in a one day mediation.

18

(May 1998)
Building Contractor
House Owner

House extension/Granny Flat £54,000.

Claims and counterclaims concerning underpayments for work carried out, variations, omissions, work by others, defective and incomplete work, diminution in value, misrepresentation compensation costs, interest charges, legal and experts' costs.

Claim            £15,000
Counterclaim £34,000
Costs            £50,000
                     ______
                    £99,000
                     ______

Settled in a one day mediation (Commenced 10.00 a.m. settled 1.00 a.m. next morning).

19

(May 1998)
Machine Metalwork Company
Machine Manufacturer

Supply of drilling machine.

Claim and counterclaim concerning drilling machine performance specification, loss of profit, damages, interest, legal costs

£275,000.

Settled in a one day mediation.

20

(June 1998)
House Owner
Joinery Manufacturer, Architect

Design and supply of doors and windows.

Design and dimensions of french doors and georgian windows.

£3,600 and ownership of joinery.

Settled in a 5 hour mediation.

21

(October 1998)
House Owner
Architect
Structural  Engineer
Building Contractor

Extension to an existing cottage resulting in its demolition and complete redevelopment and replacement by a substantial residence.

Claims and counterclaims concerning architectural and structural design and supervision, workmanship defects. Involving basement structural and tanking work, land drains, electrical work, windows, brickwork quality, sewerage and decorative work.  Including claims for delay, financing costs, professional fees, discomfort and stress and legal and expert witness costs.

In excess of £200,000 including legal costs.

Settled after two days of mediation with a further half day mediation in respect of legal costs.

22

(December 1998)
Charity Advice Centre
Architect

Refurbishment and alterations to city centre premises.

Quantum of Architects fees when budget cost (£80,000) on which fees were tendered increased by almost 100%.

£3,500

Settled in a 2 hour conciliation under the RIBA conciliation service.

23

(April 1999)
Residential Property Owner
Architect

Extension and alterations to private dwelling

Liability for Architect's fees.

£750

Settled in a 2 hour conciliation under the RIBA conciliation service.

 

24

(November 1999)
Residential Property Owner
Architect

Design of extension and alterations to private dwelling.

Liability for Architect's fees.

£3,000.

Settled in a 3 hour conciliation under the RIBA conciliation service.

25

(March 2000)
Concrete and Formwork Subcontractor, Building Contractor

Office Development

Variations, Claims and Counterclaims for delays and loss and expense, LAD’s, interest, costs.

Claim £410,000

Counterclaim £484,000

Two day mediation.  Settled by the parties after mediation.

26

(May 2000)
Residential Property Owner
Building Contractor

Works to Grade II Listed Manor House.

Repudiation, abatement, value of work to Grade II listed Manor House.  Defective Work, Interest, Costs.

Claim £64,000

Counterclaim £22,000

Settled in a one day mediation subject to provision of financial status information by builder.

27

(October 2000)
Main Contractor
Fencing Contractor

Metal Fencing to Housing Development

Measurement and Valuation disputes on F/AC.  Disputes as to method of measurement.

£92,000

Settled in a one day mediation.  Settlement included an agreement to re-establish a working relationship and future work.

28

(November 2000)
Painting & Decorating Subcontractor,
Main Contractor

Four varied contracts.

Valuation of Final Accounts.  Disputes as to valid records and documentation, observance of conditions of contract.

Claim £280

Counterclaim £10,000

Costs £71,000

Settled in a one day mediation.  The litigation costs were the major factor in the mediation.

29

(January 2001)
House owner, Architect, Contractor

Refurbishment of holiday home.

Incomplete and unsatisfactory work, Payments, Delays, Damp, Design of Windows.

Counterclaim, Claim, Costs £200K

House owner & Architect settled.  House owner and builder did not settle.

30

(March 2001)
Drainage Subcontractor, Main Contractor

Drainage to police station.

Final account values of measured work, dayworks,
Counterclaims, Interest, Costs.

Claim £50,000

Counterclaim £12,500

Settled in a one day mediation.

31

(March 2002)
Landlord, Letting Agent

Property Management

Non payment of rent by tenant, damage, deposit.

£1,215

Mediation attempted by telephone. Parties decided to proceed to small claims court. No fees charged.

32

(May 2002)
House Owner, Builder

 

Extension to house.

Value of work, defective work, cost of completing using another builder.

£12,500.

Settled in a one day mediation.  Court proceedings stayed.

33

(June 2002)
Building Contractor, Factoring Company

Mechanical services to offices

Factor’s claim for unpaid invoices re insolvent subcontractor.  Set off for incomplete and defective work, extra costs of completion. Legal costs.

£24,000.

Settled in a one day mediation.  Court proceedings stayed.

34

(Aug 2002)
Building Contractor, Partition and Plastering Subcontractor

Commercial Development

Final Account and loss and expense claims.

£200,000

One day mediation.  Parties reached a settlement one month later.

35

(Oct 2002)
Main Contractor, Dry Lining/Partition Subcontract

Museum.

Final Account, contra charges, LADS

£30,000.

Settled in a half day mediation.

36

(Feb 2003)
Main Contractor, Curtain Walling & Window Subcontractor

Commercial, Retail and Residential Development

Final Account, Claims, Liquidated and Ascertained Damages, Damages, Extensions of Time

Claim £750,000

Counterclaim £950,000

Settled after a one day mediation and six months of negotiations.

37

(May 2003)
Building Contractor, Property Company

Commercial Development

Valuation of Variations, Claims re delay and disruption.

Claim £600,000
Counterclaim £225,000

Settled in two days of mediation and interim telephone calls.

38

(June 2003)
House Buyer, House Builder  

Detached House

Defective work, compensation, legal costs, retention money.

£16,500

Settled in a four hour mediation.

39

(July 2003)
Factory Tenant, Developer, Building Contractor

Factory

Defective work, Consultant’s costs, legal costs, remedial scheme.

Tenant: £687,000
Developer: £405,0000

Settled in a one day mediation and subsequent telephone calls.

40

(August 2003)
Science Park, Construction Company

Science Park Building

Defective work, set-off claim, consultant’s costs, loss of rent, Final Account Agreement

£40,000

Settled in a one day mediation.

41

(October 2003)
House Buyer, Planning Consultant

Extension to maisonette.

Losses incurred due to incorrect planning permission advice.

£16,500.

Settled in a 2½ hour mediation.

42

(November 2003)
Steelwork Subcontractor, Main Contractor

Court Building

Final Account Value including variations and claims and general damages, claim for loss of contribution.

£360,000

Settled in a one day mediation.

43

(November 2003)
Groundwork Subcontractor, Building Contractor

Research Laboratories

The terms and conditions of contract were in dispute.  There had been two adjudications and litigation had commenced.
Final Account including remeasure, variations, Dayworks, loss and expense, disruption, interest, overheads, increased costs, ground conditions.

£3 million.

Settled in a two day mediation.

44

(December 2003)
Conservatory Company, Houseowner

Conservatory

Payment due, defective work, damage to property, damages, interest, legal costs

£28,000

Settled in a one day mediation.

45

(December 2003)
M&E Subcontractor, ME& Contractor

Multiple retail outlet.

Valuation of variations, non payment.

£70,000

Settled prior to mediation meeting.

46

(December 2003)
Bricklaying Trade Contractor, Construction Company

Residential apartments.

Final Account, Variations, extensions of time, loss and expense, LAD’s Counterclaims

Claim £490,000
Counterclaim £260,000
________
£750,000

Settled at a one day mediation and subsequent telephone negotiations via the mediator.

47

(March 2004)
Clay Extraction Company, Holding Tank Supplier, GRP Tank Manufacturer

Clay slurry holding. Tanks for Pottery Industry.

Damages arising from collapse of tank.  Cost of replacement tank and associated equipment. Clean-up costs. Damage to property. Remedial work to other tanks, professional fees, legal costs.

£60,000.

Settled in a one day mediation.

48

(May 2004 )
Architectural Design Company, Staircase Manufacturer

Feature steel staircases on university and house.

Unpaid invoices.  Counterclaims for determination, repudiation, extra completions costs, loss of profit.

£49,000.

Settled in a one day mediation.

49

(May 2004)
Leased Building Owner, Property Development Company, Penthouse Purchaser.

Lease and development of property.

Tri-partite dispute. Property Lease and Development Costs.  Forfeiture of lease. Injunction to restrain sale of lease, assignment of lease.  Unpaid commission and share of profit, conspiracy.

Approx £2 million.

Dispute narrowed but not settled.

50

(August 2004)
Steelwork Fabricator, Coating Subcontractor

Coating and bridge steelwork

Final account value, delays, contra charges, future trading

£6,000

Settled in a half day mediation.

51

(September 2004)
Masonry Company, Wire Products Company, Metalwork Company

Construction of 3 factory and office units.

Final Account Value, Counterclaims, Interest, Working relationships.

£64,000.

The parties narrowed their differences from £64,000 to £5,000 but did not settled on the day.  A settlement was reached 3 weeks later on the basis agreed at the mediation.

52

(December 2004)
Property Developer, Building Contractor

Construction of 2 residential properties

Final Account Value, delays, defective work, liquidated damages

£118,000

Settled in a one day mediation.

53

(February 2005)
Commercial Lorry Fleet Company, Road Hauliers

Hire of commercial lorries

Disputed invoices for hire, repairs, replacements, road fund rebate, etc.

£70,000.

Settled in a one day mediation.

54

(February 2005)
Metropolitan Council, Civil Engineering Contractor

Refurbishment of pier structure

Cost of remedial works, compensation events, damages, loss of income

£3.5 m

Settled in a one day mediation.

55

(April 2005)
Construction Company, Timber Building Subcontractor

Timber buildings at holiday centre.

Final Account value, delays, loss and expense, LAD’s, Counterclaims, interest, costs.

£1 million

Settled at a one day mediation and telephone calls via the mediator and parties in the following 5 days.

56

(May 2005)

Supplier of Galvanised Steel, Roller Shutter Manufacturer

Supply of galvanised steel.

Quality of materials supplied, fitness for purpose, counterclaim for losses.

£45,000

Settled in a one day mediation.

57

(July 05)
House Owner, Building Company

Erection of porch and conservatory and supply and installation of replacement windows.

Claim for non-payment.  Counterclaim for defects in construction including inadequate foundations and other damages.

£20,000

Settled in a one day mediation.

58

(July 05)
Civil Engineering Contractor, Racing Stables

Construction of gallop.

Value or work carried out.  Livery fees, sale of horse.

£80,000.

Settled in a ½ day mediation and via subsequent telephone calls and a meeting of the parties.

59

(August 05)
Building Contractor, Housing Development Company

Construction of 80 apartments.

Extensions of time, LAD’s, valuation of variations, loss and expense.

£4 million.

Settled at two concurrent days of mediation.

60

(August 05)
Aviation Company, Private Buyers

Sale of Vulcan Bomber

Condition of aircraft, storage costs/damages, identity of contracted parties, fitness for purpose.

£60,000

Settled at a one day mediation.

61

(September 05)
Civil Engineering Company, Petrol Service Station Company

Installation of underground tanks and equipment at service station.

Ground conditions, delay costs, variations, legal costs.

£26,000.

Settled at a one day mediation.

62

(September 05)
Groundworks Subcontractor, Building Contractor

Groundworks and drainage to car showrooms

Final Account Value, Contra charges, interest, legal costs.

£75,000

Settled at a one day mediation. 

63

(October 05)
Adjacent Property Owners (2 married couples)

Neighbour dispute.

Rights of way, access for inspection and maintenance, adverse possession of land claim, loss of light from tall growing trees, allegation of rude, threatening and violent behaviour.  Future relationships.

Not applicable.

Settled at a one day mediation.

64

(November 05)
Steelwork Contractor, Developer

Supply and erection of steel staircases on four contracts.

Value of work carried out, counterclaim for defective work and damages, interest, legal costs.

£37,000

Settled after a one day mediation and subsequent telephone negotiations via the mediator.

65

(February 06)
Commercial Estate Agency, Seller of Care Home

Sale of property

Entitlement to introduction/selling fee

£40,000.

Settled prior to the mediation meeting.

66

(March 06)
Steel Fabricator and Erector, Cold Store Construction Company

Steel frame to cold store.

Final Account value including value of variations, acceleration claims, premium time working, delay costs, counterclaims.

£8,000

Settled at a one day mediation.

67

(July 06)
Building Contractor, Houseowners

Fire damage reinstatement and extension to and refurbishment of residence

Final Account Value, loss and expense, disruption, costs to complete, interest, temporary accommodation, distress and inconvenience, legal costs.

£900,000.

Settled at a one day mediation.

68

(July 06)
Subcontractor, Civil Engineering Contractor

Arts Centre

Final account value, contra charges, interest costs.

£7,500.

Settled at a one day mediation.

69

(Sept 06)
Metal Castings Company, Fuel Conservation Services Company

Supply of heat resistant alloy castings.

Defective goods, value of goods supplied, scrap value, counterclaim costs.

£9,000.

Settled at a half day mediation.

70

(Nov 06)
Parochial Church Council, Building Company

Work to Church Tower.

Quality of work, remedial costs, legal costs.

£30,000.

Settled at a half day mediation.

71

(February 07)
Manufacturer, Wire Supplier

Supply of cut and coiled steel wire for the manufacture of supermarket baskets and trolleys.

Breach of fixed price agreement, failure to supply on time, late payment, repudiation, duress, failure to mitigate losses, incorporation of terms, damages.

£1,260,000 plus costs.  Counterclaim £90,000 plus costs.

Settled at a one day mediation.

72

(March 07)
Neighbours

Neighbour Dispute

Replacement of a party fence, height and design of fence.  Abusive behaviour, relationship as neighbours and relationships at work.

£800.  The dispute also involved the relationship between the parties.

Settled at a half day mediation.

73

(April 07)
Bathroom Specialist, House Owner

Plumbing work and fitting out new bathroom.

Defective work, counterclaim costs, legal costs.

£8,000.

Settled at a half day mediation.

74

(May 07)
Blasting and painting Contractor, Bridge Steelwork Contractor.

Bridge steelwork.

Defective work. Value of extra work. Allegations of criminal misrepresentation.

£220,000

Settled at a one day mediation.

75

(July 07)
Architect, Houseowners, Owners Agent

Design of New House

Payment for architectural services, breach of copyright.

£1,300

Settled by mediation via telephone and post.

76

(August 07)
Recruitment Company, Leisure Services Company

Recruitment company premises.

Damage to property by adjacent building works. Temporary relocation costs. Business interruption costs.

£700,000.

The parties narrowed the amount in dispute to £250,000 but no settlement was achieved on the day.  (Ongoing?)

77

(September 07)
Watch Owner, Prestigious International Watch Company

Replacement of diamond encrusted watch dial.

Watch dial with high sentimental value lost (but re-found as a result of mediation).

£2,500

Settled by mediation by telephone, e-mail and post.

78

(October 07)
Construction Company, Land Survey Firm

Levels survey of construction site.

Survey errors, additional rock break costs, delay costs. Interest, legal costs.

£180,000.

Settled at a one day mediation.

79

(December 07)
Pentecostal Church, Petroleum Corporation, Petrol Filling Station Company

Church, Community Centre and Nursery.

Contamination from petrol filling station.

£540,000.

Settled at a one day mediation.


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