Bellway chases Ardmore for £4.7m adjudication award 

Bellway has launched a legal action against Ardmore, as it chases a £4.7m payment that it was awarded at an adjudication.

The FTSE 250 housebuilder entered into an adjudication process with main contractor Ardmore following the discovery of alleged fire-safety defects, including combustible insulation, non-compliant cladding and insufficient cavity barriers, at two residential buildings in east London. 

The construction of Celestial House and Queensbury House was completed by Ardmore for Bellway in 2013. The nine- and six-storey buildings respectively, near Langdon Park station in Tower Hamlets, contain 82 homes in total. 

In 2020, alleged fire-safety defects were identified, which cost Bellway £6.75m in a settlement with warranty provider the National House Building Council, according to the housebuilder’s particulars of claim document submitted to the High Court. 

Bellway sought to recover the full sum from Ardmore, alleging the firm had breached its building contract or was liable under the Defective Premises Act 1972, having failed to deliver design and/or construction services adequately. 

The dispute was adjudicated by Len Bunton of Bunton Consulting. On 20 June, he ruled that Bellway was owed £4,669,947 and each party was liable to pay costs of £16,200. 

However, Bellway said Ardmore had yet to pay the award sum or adjudication fee as of 29 July, when it submitted its claims document.

The housebuilder said Ardmore had, since the adjudication, “indicated that it disputes the jurisdiction of the adjudicator to make decisions on four grounds”, adding: “These grounds [relating to counterclaims] were considered by the adjudicator during the adjudication and were dismissed.” 

Bellway asked the court for enforcement of the adjudication decision plus payment of interest or, alternatively, damages relating to the non-payment. 

Ardmore and Bellway have been contacted for comment.