Phoenix Interior Design v Henley Homes: contractual completion, incorporation of terms, UCTA reasonableness

10 June, 2021

On 9 June 2021, Freedman J handed down judgment in Phoenix Interior Design Ltd v (1) Henley Homes Plc and (2) Union Street Holdings Ltd [2021] EWHC 1573 (QB), which was tried over two weeks in the Queen’s Bench Division.

The case concerned interior design services supplied by the Claimant for the refurbishment and fitting out of the 5-star Dunalastair Hotel in the Scottish Highlands. The Claimant sought payment of the outstanding sums invoiced, which represented 50% of the contract value. The Defendants argued that, although the goods had not been replaced or returned, the sums were not due because the contract had not been completed on the basis of various allegations that the goods and services supplied had been defective and counterclaimed for damages for breaches of warranty.

The judgment considered the law on incorporation of standard terms and conditions (paragraphs 64 to 76), UCTA reasonableness of exclusion clauses (paragraphs 77 to 86, 174 and 188(2)) acceptance and rejection of goods, contractual completion and substantial performance (paragraphs 90 to 104).

A copy of the judgment is available here.

Andrew Legg acted for the Claimant, instructed by David Wilson of Warners Law LLP.