The value is whatever I say it is: Determinations by the principal under construction contracts

摘要

This article considers situations where a construction contract is administered by either a principal or a principal's agent. It concerns the extent to which determinations which purport to be "final and binding" can be disputed by a contractor and opened up, reviewed and revised by an arbitrator or a court. The different approaches taken in England and Australia are reflected upon, including the Australian dichotomy between determinations calling for a "discretionary judgment" and those involving a "mechanical exercise".