CC Builders (Aust) Pty Ltd v Milestone Civil Pty Ltd

In the matter of CC Builders (Aust) Pty Ltd versus Milestone Civil Pty Ltd, the dispute was brought before the court involving an adjudication under the Building and Construction Industry Security of Payment Act 1999 (NSW). The primary contention was whether the adjudicator's determination should be quashed due to a procedural error. Specifically, the adjudicator had refused to consider the plaintiff's submissions regarding an extension of time claim, erroneously stating that the claim had not been advanced in the plaintiff's payment schedule, despite evidence to the contrary. The adjudicator also partially acknowledged the claim elsewhere in his determination, leading to a complex situation regarding the validity of his decision.

The legal issues at hand centred on the adjudicator's failure to properly consider the plaintiff's extension of time claim and whether this constituted a jurisdictional error. Additionally, the court needed to determine if there was an error in the adjudicator's handling of a carry over claim and whether such an error was indeed jurisdictional. Furthermore, the court was required to address the matter of adjudicator's fees, which the adjudicator had ruled should be paid entirely by the plaintiff, a decision now complicated by the setting aside of part of the adjudicator's determination.

The court concluded that the adjudicator's refusal to consider the extension of time claim was a jurisdictional error, necessitating the quashing of the adjudicator's determination. However, the court exercised its discretion under the Act to impose a condition on the successful plaintiff, ordering it to accept liability for half of the adjudicator's fees. This decision balanced the need to correct the procedural error with the practicalities of ensuring that the adjudicator was fairly compensated for their work.