Savory Holdings Ltd v Royal Oak Mall Ltd - [1992] 1 NZLR 12

Contract — Building contract — Authority of architect — Status and effect of payment certificate issued by architect — Contractor A completed contract for stage 1 of building project and architect issued final payment certificate — Contractor B proceeded with stage 2 of project and architect issued payment certificate for progress payment — Contractors sought summary judgment which employer opposed alleging set-offs for stage 2 of project — Contractor B disputed set-offs which were to proceed to arbitration — Whether contractor A was entitled to judgment — Whether payment certificate for stage 2 was special and formal kind of admission of liability by employer — Whether employer was entitled to have issues on stage 2 go to trial — Whether contractor B was entitled to judgment.

Practice and procedure — Summary judgment — Defence — Existence of arguable defence — Claim for set-off in dispute under building contract — Contractor sought summary judgment for progress payment under building contract — Employer opposed claiming set-off — Whether set-off constituted an arguable defence — Whether contractor was entitled to judgment — High Court Rules, RR 136 and 142.