Disputes arose between the parties and an Adjudicator was nominated. However, a compromise was then reached. Lathom then issued further invoices and Cross stated that a pre-condition of the compromise was that £5,000 was to be withheld. Lathom disagreed and brought the matter back before the same Adjudicator stating that the terms of the compromise did not apply. Cross alleged the compromise existed but did not accept the Adjudicator’s jurisdiction. The Adjudicator found there was a compromise agreement and Cross could not withhold £5,000.

The Judge found that once the Adjudicator had found that the compromise was in existence, Cross had a reasonable prospect of success in arguing that the Adjudicator did not have jurisdiction to make the decision that he did. Accordingly, the summary judgment application was dismissed.