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03Sep92 UK: NUTTALL ROW WITH HIGGS AND HILL STILL RAGING.

A private hearing at the High Court on Tuesday failed to settle a £3 million dispute between Nuttall and Higgs and Hill over work on the troubled Victoria Embankment project in London.The preliminary hearing in the Queen's Bench Division referred the matter to an extended hearing to be held in December.Nuttall, which had a subcontract for basement construction on the scheme, is claiming the £3 million for unpaid work and 'prolongation of the contract and other matters'.The £180 million Victoria Embankment contract was built under a Higgs and Hill management contract as the new headquarters for US bank JP Morgan.But the scheme hit problems with a row between client and management contractor over payment, which in turn affected payments to subcontractors under the 'pay-when-paid' clause in their contracts. In all, subcontractors claimed they were owed around £20 million on the project before Higgs and Hill and JP Morgan struck their deal.After a series of meetings an agreement was reached in January which was expected to pave the way for subcontractors to be paid outstanding monies.And in April this year Higgs and Hill made a £3.5 million provision in its final results.