Adjudication in Republic of Ireland:
Through the Construction Contracts Act 2013 Adjudication was introduced as procedure in the Republic of Ireland. This Act is largely similar to the NI equivalent. However, there are some significant differences. For example, certain types of contracts are exempt from the adjudication procedure, they are as follows:
Contracts valued at less than 10,000 euro.
Contracts in relation to occupation of residential property less than 200 square meters.
Employment contracts.
Contracts between government bodies and partners in the public/private sector.
Additionally, issues in relation to payment can only be resolved through adjudication in the Republic of Ireland, which contrasts with the law in Northern Ireland (NI).
Adjudication is initially triggered through serving one party with a notice of intention to deal with the dispute through adjudication.
Whilst there are no time limits when it comes to appointing an adjudicator, the Code of Practice states that written notification of an appointment should be delivered within seven days. This is similar to Northern Irish legislation; however, it is not a strict time limit. Following this, the party who served the initial notice has to provide all relevant documents to support their claim within seven days. The initial referral process lasts 19 days in the Republic of Ireland; this again contrasts with Northern Ireland due to the referral process lasting a week.
The appointed adjudicator has to make their decision within 28 days and any decided sum for the owed party has to be paid within seven days. However, if it is not, the owed party is permitted to stop all of their work or services. This can last until the payment is paid or if the adjudicator’s decision is referred further.
Enforcing an adjudicator’s decision can be conducted through the High Court. However, in the Republic of Ireland oral hearings are not necessary.
An example of an application to enforce the decision of an adjudicator in the Republic of Ireland can be seen through the case of Gravity Construction Ltd v Total Highway Maintenance Ltd.
In that case an issue arose in relation to whether the applicant is entitled to enforce an adjudicator’s decision under the Construction Contracts Act 2013. It was held that the applicant was entitled to a sum decided by the adjudicator. However, the respondent initially did not pay the sum when required but later expressed willingness to pay close to the hearing date. Despite this, the court concluded that the applicant was entitled to enforce the adjudicator’s decision and to recover costs from the respondent as their offer to pay was not sufficient. This was due to the respondent only offering “reasonable contribution” without addressing the name of the specific fees. Thus, illustrating the core principles of adjudication in the Republic of Ireland.
in Northern Ireland, an enforcement application can be seen through Coleraine Skip Hire Ltd v Ecomesh Ltd.
This case occurred due to the defendant failing to pay the plaintiff for the work they have carried out. Consequently, this case questions whether an adjudicator’s decision was made within the statutory time limit, and whether it is enforceable. Additionally, it discusses if a defendant’s financial situation should impact enforcement of adjudication. As a result of the circumstances of the case, the court stated that the adjudicator’s decision was invalid due to lapse of time. Moreover, the parties are awaiting a decision in relation to a stay of execution order, which consequently put the sum to be paid on hold.