Your browser is no longer supported

For the best possible experience using our website we recommend you upgrade to the newest version of your browser.

Your browser appears to have cookies disabled. For the best experience of Construction News, please enable cookies in your browser.

Welcome to the Construction News site. As we have relaunched, you will have to sign in once now and agree for us to use cookies, so you won't need to log in each time you visit our site.
Learn more

Bovis sued for £6m

Haden Young issues writ over BBC project at White City after payment row with main contractor

BOVIS Lend Lease is being sued for more than £6 million by Balfour Beatty's mechanical and electrical arm in connection with work it carried out on a landmark job for the BBC in west London.

In a writ issued at the Technology & Construction Court in London, Haden Young claims it is owed £6.5 million for work on the BBC White City project, on which Bovis was the main contractor.

No contract was agreed for the work but in the writ Haden Young states: 'The claimant has submitted applications for payment on a cost-plus basis up to a total of £26.8 million.

'The defendant has valued the works on a different basis and has to date paid the claimant only £20.3 million.

'The claimant claims the difference.'

The writ adds: 'It is the claimant's case that this work should be valued on the basis of the claimant's reasonable costs for labour, plant, equipment and materials, together with a reasonable amount for overheads and profits.'

It calculates its profits on the job at £1.2 million.

As well as the missing £6.5 million, Haden Young also claims an extra £1.1 million in VAT.Haden says Bovis sent it eight letters of intent between November 2001 and September 2003 but 'did not sign or return any of the letters of intent or accept their terms' A Bovis spokesman said:

'We are still engaged in ongoing discussions with senior management at Haden Young about this claim. But it is certainly our intention to defend it.'

Work on the White City scheme, which the BBC has called a 'media village', began in autumn 2001 and was completed ahead of schedule in March.

The £250 million design and build project involved the construction of three buildings, including a central office complex and broadcasting centre, next to the BBC's existing television centre in White City.