Read the full judgment text of HCCT000094/1997 on BabelCite. This HIGH COURT OF HONG KONG COURT OF FIRST INSTANCE judgment was delivered on 24 November 1997 before The Hon Mr Justice Findlay, in Chambers.
Construction contract dispute — Measurement and valuation of work under clause 59 — Contractor sought payment for rock excavation based on billed quantities; Engineer reduced rates invoking clause 59(4)(b) when actual quantities substantially exceeded estimates — Arbitration issued partial award affirming reduction — Key legal issues included the correct interpretation of 'increase or decrease of itself' in clause 59(4)(b) and whether it applies to items nominally estimated at one cubic metre — Court held arbitrator was correct in requiring actual change in method or economics to justify rate adjustment — No error found in arbitrator’s approach regarding first three items — Clause 59(4)(b) applies in principle to ‘one cubic metre’ items since actual quantities were substantially greater, but leave to appeal refused on ground of de minimis effect — Application for leave to appeal dismissed; costs ordered against applicant.
Legal issues: Interpretation and application of clause 59(4)(b) of the contract · Application of clause 59(4)(b) to items estimated at one cubic metre
Outcome: Application for leave to appeal refused; costs ordered against the applicant
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