Procurement Damages: Supreme Court Issues Landmark Judgment

The Supreme Court has unanimously held that damages should only be awarded where the breach of the procurement rules is "sufficiently serious". It further ruled that a damages award is not precluded on the ground that a claim is not issued before the contract is entered into.

The latest ruling adds to the significant judicial analysis that has emerged from this long-running dispute.

Nuclear Decommissioning Authority v Energy Solutions EU Ltd [2017] UKSC 34: Facts and background

On 11 April 2017, on an appeal from the Court of Appeal, the Supreme Court issued its judgment on certain preliminary issues in dispute between ATK Energy EU Ltd (formerly Energysolutions EU Limited) and the Nuclear Decommissioning Authority (NDA). The dispute concerned the award of a 14 year contract for the decommissioning of 12 Magnox power stations (the Magnox Contract).

In the underlying litigation between the...