The case relates to MPS Housing, part of the Mears Group, breaching a seven-year contract to repair and maintain Home Group’s 15,000-home housing stock in the south east of England.

According to the judgment, MPS attempted to terminate its contract with the group in late 2021 and stopped working for the social landlord in May 2022.

A referral to adjudication by Home Group led to a decision in November 2022 that the termination was invalid, and that MPS was in breach of the contract.

A subsequent adjudication took place in April of this year in order to enable Home Group to recover resulting losses amounting to more than £6.5m.

After MPS failed to make payment, Home Group used a fast-track adjudication enforcement procedure implemented by the Technology and Construction Court in order to obtain payment. The application was filed with the court on 19 May 2023 with judgment being handed down on 25 July 2023, just over nine weeks later. 

“Our client had some seven odd months of servicing properties at short notice, and had to find a replacement contractor in that time,” said Home Group’s solicitor, Karen Morean of Devonshires.

Although the projects in question each had a relatively low value, the presiding judge said the works in aggregate left Home Group “considerably out of pocket” until payment.

A spokesperson for Mears said: “MPS is pleased that the final account on this contract has been concluded and is very satisfied with the outcome.”