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ARTICLE · 08 AUGUST 2006

The Letter of the Law

MacRoberts
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On 13 July 2006 the Technology and Construction Court in England decided the case of Cunningham & Others -v- Collett & Farmer and considered circumstances when a letter of intent was appropriate.

United KingdomStrategy
Shona Frame
Shona Frame
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Regular readers of our e-updates will know that in 2005 the courts in Scotland looked at letters of intent in the case of Robertson Group (Construction) Limited -v- Amey Miller (Edinburgh) Joint Venture & Others.

On 13 July 2006 the Technology and Construction Court in England decided the case of Cunningham & Others -v- Collett & Farmer and considered circumstances when a letter of intent was appropriate.

The Facts

The claimants engaged the defendants to act as their architect in the refurbishment of Bengeo Hall in Hertfordshire. The defendants sent out invitations to tender to two contractors whose bids were in excess of the claimants’ budget. The claimants decided to engage one of the contractors on the JCT Standard Form of Contract for Minor Works, 1998 Edition (MW98) subject to the agreement of a reduced workscope to bring the works within the budget.

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