Invoices treated as payment applications
In the case of Bravejohn Company Ltd v Prosperity Moseley Street Ltd [2021] EWHC 3598 (TCC), Bravejohn had submitted six invoices for its design & construction work.
Prosperity had issued payment and pay less notices in respect of three of these invoices.
Bravejohn commenced adjudication, in which Prosperity argued that bo dispute had arisen and the adjudicator should resign.
The adjudicator found that the submission of the invoices and the non-payment of the payment notice gave rise to a dispute and that he had jurisdiction.
The adjudicator agreed with Prosperity that the invoices were not valid payment applications, but that they had treated five of them as valid and issued payment notices in respect of the first three. Thus they were obliged to pay the sum in their payment notices and awarded Bravejohn the sums claimed and interest.
At enforcement, the Judge stated it was clear that a dispute had crystallised and found for Bravejohn.
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