TRW & Co · Construction
Construction Adjudication: The 28-Day Process
Construction adjudication lets any party to a UK construction contract refer a dispute to an adjudicator at any time. The referral follows within 7 days of the notice, the decision comes within 28 days, and it binds the parties until final determination. Here is how the process works, how decisions are enforced in the TCC, and how smash and grab claims operate.
Key pointA paying party that misses its payment or pay less notice can still challenge the valuation through a true value adjudication, but only after it has paid the notified sum.
At a glance
Right at any time
Section 108 of the Construction Act gives a party to a construction contract the right to refer a dispute to adjudication at any time.
7 days to refer
The contract must provide a timetable for appointing the adjudicator and referring the dispute within 7 days of the notice of adjudication.
28-day decision
The adjudicator decides within 28 days of referral, extendable by 14 days with the referring party's consent, or longer by agreement.
Fast enforcement
Unpaid decisions are usually enforced by summary judgment in the Technology and Construction Court, with narrow defences limited to jurisdiction and natural justice.
Pay now, argue later
In S&T v Grove the Court of Appeal held that the notified sum must be paid before a true value adjudication can be started.
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Construction adjudication: the short answer
Construction adjudication is a fast, statutory form of dispute resolution for construction contracts in the UK. Under the Housing Grants, Construction and Regeneration Act 1996 (the Construction Act), any party to a construction contract can refer a dispute to an adjudicator "at any time". The adjudicator must be appointed and receive the referral within 7 days of the notice of adjudication, and must decide within 28 days of referral, unless the time is extended.
The decision is binding until the dispute is finally decided by litigation, arbitration or agreement. If the losing party does not comply, the winner can usually enforce it quickly in the Technology and Construction Court (TCC). The courts' approach is often summed up as "pay now, argue later".
This guide explains who can adjudicate, the 28-day timetable, how decisions are enforced, and how "smash and grab" and "true value" adjudications work after the Court of Appeal's decision in S&T (UK) Ltd v Grove Developments Ltd.
The right to adjudicate: which contracts are covered
The right applies to a "construction contract" as defined in section 104 of the Construction Act. That covers agreements to carry out construction operations, to arrange for others to carry them out, or to provide labour for them. It also includes architectural, design and surveying work, and advice on building, engineering, decoration or landscape in relation to construction operations. Contracts of employment are excluded.
The Act applies to construction operations in England, Wales and Scotland, whatever law governs the contract. Some operations are excluded, including certain work on process plant and extraction activities, so energy and industrial projects need careful analysis. Contracts with a residential occupier, meaning work principally on a dwelling the client lives in or intends to live in, are excluded by section 106. Since amendments in force from 1 October 2011 in England and Wales, the Act applies to oral and partly oral contracts as well as written ones.
Under section 108, a construction contract must contain an adjudication procedure meeting minimum requirements. If it does not, the adjudication provisions of the Scheme for Construction Contracts apply in its place. Many standard forms, including JCT and NEC, contain compliant procedures; our guide to JCT and NEC contracts compares them.
The 28-day construction adjudication timetable
The statutory framework is short and strict. Section 108 requires the contract to:
- allow a party to give notice of its intention to refer a dispute to adjudication at any time;
- provide a timetable to secure the appointment of an adjudicator and referral of the dispute within 7 days of that notice;
- require the adjudicator to decide within 28 days of referral, or a longer period agreed by the parties after referral;
- allow the adjudicator to extend the 28 days by up to 14 days with the consent of the referring party;
- impose a duty on the adjudicator to act impartially, and allow the adjudicator to take the initiative in ascertaining the facts and the law.
- Crystallise the dispute. Make sure there is a dispute: a claim that has been made and rejected, or not admitted. Adjudicating a point that was never put to the other side invites a jurisdiction challenge.
- Serve the notice of adjudication. Describe the dispute, the parties and the redress sought. The notice defines the adjudicator's jurisdiction, so draft it carefully.
- Appoint the adjudicator. Apply to the nominating body named in the contract, or agree a named adjudicator. Under the Scheme, nominations are made quickly so the 7-day target can be met.
- Serve the referral notice. Within 7 days of the notice of adjudication, serve the referral with the contract, the key correspondence, witness statements and any expert evidence.
- Response and replies. The responding party serves its response within the timetable the adjudicator sets, often around 7 to 14 days. Replies and rejoinders may follow.
- Decision. The adjudicator decides within 28 days of referral, or 42 days with the referring party's consent, or longer if both parties agree.
- Comply or enforce. The losing party should pay or perform as directed. If it does not, the winning party can issue enforcement proceedings in the TCC.
The referring party controls the timing and can prepare for months before serving the notice. A responding party may have only days to reply. If you are likely to face a construction adjudication, start gathering your records and instructing experts as soon as a dispute emerges, not when the notice arrives.
Choosing and appointing the adjudicator
Most contracts name an adjudicator nominating body, such as a professional institution, or allow the parties to agree a named individual. Nominating bodies keep panels of experienced adjudicators drawn from law, quantity surveying and engineering. The right choice depends on the dispute: a valuation fight may suit a quantity surveyor, while a dispute about contract interpretation or notices may suit a lawyer. A referring party should check the contract carefully, because applying to the wrong body or appointing out of time can undermine the adjudicator's jurisdiction.
Construction adjudication compared with other routes
Construction adjudication is not the only way to resolve a project dispute, and it is not always the best one. Its strength is speed and interim cash flow; its weakness is that complex, document-heavy disputes must be squeezed into a short timetable. Many parties use it alongside, not instead of, litigation or arbitration.
| Route | Speed | Outcome | Best suited to |
|---|---|---|---|
| Adjudication | Weeks | Binding until final determination | Payment disputes, notices, extensions of time, interim cash flow |
| TCC litigation | Months to years | Final, subject to appeal | Complex defects, large final account and professional negligence claims |
| Arbitration | Months to years | Final and confidential, limited appeal | International projects and parties wanting confidentiality and enforceability abroad |
| Expert determination | Varies by contract | Usually final on technical questions | Narrow valuation or technical issues the contract assigns to an expert |
Enforcement in the Technology and Construction Court
Section 108 requires that the decision is binding until the dispute is finally determined. If the paying party does not comply, the successful party usually issues a claim in the Technology and Construction Court and applies for summary judgment. The TCC Guide provides an expedited procedure for adjudication enforcement, so these cases are heard far faster than ordinary litigation.
In construction adjudication, the court will usually enforce a decision even if the adjudicator made errors of fact or law. The main defences are:
- Lack of jurisdiction, for example where there was no construction contract, no crystallised dispute, the same dispute had already been decided, or the adjudicator decided matters outside the notice.
- Serious breach of natural justice, for example where the adjudicator failed to consider a defence or relied on material the parties had no chance to address.
Courts apply these defences narrowly. A party wishing to preserve a jurisdiction objection should reserve its position clearly and promptly during the adjudication. Costs allocation clauses are also restricted: under section 108A, a contractual provision about the costs of adjudication is ineffective unless it meets the statutory conditions.
Smash and grab and true value adjudications
Many construction adjudication claims concern interim payments. Under section 111 of the Construction Act, as amended, a payer must pay the notified sum by the final date for payment unless it has served a valid pay less notice in time. A "smash and grab" adjudication is a claim for the notified sum where the payer failed to serve a valid payment notice or pay less notice, so the payee's application becomes the sum due. Our guide to payment notices and pay less notices explains the notice regime.
In S&T (UK) Ltd v Grove Developments Ltd [2018] EWCA Civ 2448, the Court of Appeal held that an employer who has failed to serve a timeous payment notice or pay less notice can still start a "true value" adjudication to determine the correct value of the work. But it must first pay the notified sum, as section 111 requires. The result is that a smash and grab claim remains powerful, but it does not finally decide what the work is worth.
| Feature | Smash and grab | True value |
|---|---|---|
| Question decided | Whether the notified sum is payable because notices were missing or invalid | The correct value of the work at the relevant date |
| Typical referring party | Contractor or subcontractor (payee) | Employer or paying party |
| Key evidence | Contract payment terms, applications, notices and dates | Measurement, valuation and quantum expert evidence |
| Precondition | Missing or defective payment or pay less notice | Payer must first pay the notified sum |
| Speed and cost | Usually quick and document-based | Often longer and expert-heavy |
An illustrative scenario
This scenario is illustrative only and does not describe a real client or matter.
A specialist subcontractor on a London office fit-out submits an interim application. The main contractor's commercial team misses the deadline for its pay less notice. The subcontractor serves a notice of adjudication claiming the full amount applied for, and the adjudicator decides that the notified sum is payable.
The main contractor considers the application overvalued. Its advisers explain that it must pay the notified sum first, then it may bring a true value construction adjudication to determine the proper valuation. It pays, starts a true value adjudication with a quantity surveyor's evidence, and recovers part of the overpayment. The episode leads it to tighten its payment notice procedures across every project.
Risks and common mistakes
Referring a dispute that has not crystallised
An adjudicator only has jurisdiction over a dispute that has arisen. If a claim was never properly put to the other side, or the referral goes beyond what was claimed and rejected, the responding party may challenge jurisdiction. That can undermine enforcement of the decision. Put the claim clearly in writing first, allow a reasonable time for a response, and frame the notice of adjudication to match.
Failing to reserve a jurisdiction objection
A responding party that takes part in the adjudication without clearly reserving its position may be treated as having accepted the adjudicator's jurisdiction. If you think the adjudicator lacks jurisdiction, say so promptly and in writing, explain why, and confirm that you are participating under reservation. Courts are reluctant to entertain objections first raised at the enforcement stage.
Missing payment and pay less notice deadlines
Most smash and grab claims arise from administrative failures. A paying party that misses a notice deadline may have to pay the full application, even if it is overvalued, before it can challenge the valuation. Map every payment cycle, nominate responsible individuals and serve notices that clearly state the sum considered due and the basis of calculation.
Underestimating the responding party's workload
The referring party may serve a large referral with expert evidence, leaving the responding party only a short period to respond. Requests for extensions are not always granted, since only the referring party can consent to the first 14-day extension. Instruct lawyers and experts immediately on receipt of a notice of adjudication and prioritise the issues that matter most.
Ignoring the final determination route
Adjudication is temporarily binding. A party that loses can still have the dispute finally decided by litigation or arbitration, and a party that wins should expect that possibility. Consider limitation periods, the contract's final dispute resolution clause and whether a further adjudication on a different dispute would be more effective.
International parties, arbitration and Scotland
The Construction Act applies to construction operations in England, Wales and Scotland whatever the governing law, so a foreign contractor or employer working on a UK project cannot contract out of statutory adjudication by choosing another law. Scotland has its own Scheme and court enforcement procedures, and Northern Ireland has separate legislation.
Where the contract provides for arbitration as the final forum, adjudication still applies on the way. International developers and contractors, including those from the Gulf, Asia and Bangladesh, should align their adjudication strategy with any arbitration clause. Our construction disputes lawyers and international arbitration team work together on these matters. Where advocacy in the higher courts is needed, we instruct specialist counsel.
Overseas parent companies should also make sure their UK project teams keep contemporaneous records: programmes, site diaries, instructions, payment applications and notices. Adjudications move too quickly to rebuild a record after the event, and the party with the better documents usually has the advantage. Where the contract is governed by a foreign law or names a foreign seat of arbitration, take advice early on how that interacts with the statutory adjudication regime and with enforcement of any later award.
Construction adjudication checklist
- Confirm the contract is a construction contract and identify the adjudication procedure or the Scheme.
- Check that the dispute has crystallised and that limitation is not an issue.
- Draft the notice of adjudication to cover precisely what you want decided.
- Prepare the referral, evidence and experts before serving the notice where possible.
- If responding, reserve jurisdiction objections immediately and focus your resources.
- Diarise the 28-day period and any agreed extensions.
- Comply with the decision, or enforce it promptly in the TCC.
- Review your payment and pay less notice processes to prevent future claims.
For project-side advice on contracts and payment terms, see our construction solicitors. To discuss a construction adjudication, contact our London office.
Frequently asked questions
01How long does construction adjudication take?
The adjudicator should be appointed and receive the referral within 7 days of the notice of adjudication, and must decide within 28 days of referral. The adjudicator can extend that by up to 14 days with the referring party's consent, and the parties can agree a longer period after referral. The statutory timetable is fixed from the notice onwards, but preparation by the referring party may take much longer beforehand, so the overall dispute can run for months.
02Is an adjudicator's decision final?
No. It is binding until the dispute is finally determined by legal proceedings, arbitration if the contract provides for it, or agreement. The parties must comply in the meantime, and the courts will usually enforce the decision even if it contains errors. Either party can later ask a court or tribunal to decide the dispute finally, and the parties can also agree to accept the adjudicator's decision as final.
03Can I adjudicate a dispute with a homeowner?
Generally not under the statutory right. The Construction Act does not apply to a contract with a residential occupier, which means a contract principally for work on a house or flat that the client occupies or intends to occupy as their home. The parties can still agree to adjudicate by contract, and some standard forms for domestic work include an adjudication clause, but the statutory right and the Scheme do not apply automatically.
04What is a smash and grab adjudication?
It is a claim for the notified sum where the paying party failed to serve a valid payment notice or pay less notice in time. Under section 111 of the Construction Act, the payer must then pay the sum stated in the payee's application by the final date for payment. The adjudicator does not decide the true value of the work. Following S&T v Grove, the paying party can later start a true value adjudication, but only after paying the notified sum.
05How do you enforce an adjudicator's decision?
If the losing party does not comply, the winning party normally issues a claim in the Technology and Construction Court and applies for summary judgment, using the TCC's expedited procedure for adjudication enforcement. The court will enforce unless the losing party shows the adjudicator lacked jurisdiction or committed a serious breach of natural justice. Once judgment is obtained, the usual enforcement methods for court judgments are available.
06Who pays the costs of an adjudication?
Each party usually bears its own legal and expert costs, and the adjudicator decides how their fees and expenses are allocated between the parties. Under section 108A of the Construction Act, contractual provisions allocating adjudication costs are ineffective unless they are in writing in the contract and give the adjudicator power to allocate fees and expenses, or are agreed in writing after the notice of adjudication.
Sources and official materials
- Housing Grants, Construction and Regeneration Act 1996, section 108 — Right to refer disputes to adjudication
- Housing Grants, Construction and Regeneration Act 1996, section 104 — Definition of a construction contract
- Housing Grants, Construction and Regeneration Act 1996, section 106 — Residential occupier exclusion
- Scheme for Construction Contracts (England and Wales) Regulations 1998 — Default adjudication procedure
- Technology and Construction Court Guide — Procedure for adjudication enforcement
- S&T (UK) Ltd v Grove Developments Ltd [2018] EWCA Civ 2448 — Pay the notified sum before a true value adjudication
General information only, current as at 21 October 2026. It is not legal advice and does not create a solicitor–client relationship. It reflects the law of England and Wales unless stated otherwise; Scotland and Northern Ireland have separate legal systems, and the law changes frequently. Check current official sources and take advice on the facts of your matter.