ABSTRACT
In Minter the contractor had been delayed by variations and the late receipt of drawings as a consequence of which the contractor received payments later than it would otherwise have done. The amount awarded was limited to finance charges relating to the period between loss and expense being incurred and the making of a written application for reimbursement. This meant that each monthly application would have had to include an updated application for interest costs. Faced with the refusal of the courts to award damages for late payment of damages, Parliament intervened to give the courts power to award interest. In its most recent form, the power of the High Court to award interest is in section 35A of the Senior Courts Act 1981. Not to exercise the power under section 49 of the 1996 Act may be a substantial injustice to a claimant.
