Sutton v Rydon, a triumph of common sense (Melissa Shipley, Practical Law Construction Blog)

Melissa Shipley (Practical Law Construction Blog).

The Court of Appeal’s judgment in Sutton Housing Partnership v Rydon Maintenance Ltd has the quality that I value most in any judgment: it is a triumph of common sense.

Sutton Housing Partnership Ltd v Rydon Maintenance Ltd

In May 2013, Sutton entered into a five-year contract with Rydon to maintain and repair Sutton’s housing stock. Sutton was permitted, after giving the requisite notice, to terminate the contract if minimum acceptable performance levels (MAPs) were not met. There was also an incentivisation scheme that resulted in extra payments to Rydon if the MAPs were exceeded. In the contract’s definitions section, it was noted that MAPs were to be set out in the Key Performance Indicator (KPI) Framework.

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