Twist in “MT Højgaard vs E.ON” Case: Supreme Court Withdraws Ruling

The Supreme Court in London will withdraw the ruling in favour of MT Højgaard from 5 November, when it rejected an application from E.ON to allow an appeal against the ruling in an old dispute regarding the Robin Rigg offshore wind farm.

MT Højgaard said the Supreme Court will further evaluate E.ON’s application for an appeal, which could mean that that the dispute is not finally settled, describing the withdrawal itself as unusual.

“The purpose and the effect of this expected withdrawal by the Supreme Court is not known at this time,” MT Højgaard said in a press release.

E.ON claims MT Højgaard is responsible for the problem with the grouted connections of the foundations  at the Robin Rigg offshore wind farm and that MT Højgaard should pay damages, in particular the cost of rectifying the problem. MT Højgaard denied liability arguing that the Group had observed the applicable international standards as required by the client.

The company considered the Supreme Court’s ruling from 5 November as final, and considered the matter to be settled, thus recognising DKK 195 million as income under Special items. However, after the court’s decision to withdraw the ruling, MT Højgaard said: “Should this imply that the dispute is not finally settled, it will cause the Group to re-establish a provision and adjust its guidance for Special items to DKK 0 against the present guidance of an income of DKK 195 million. Besides this the financial guidance for 2015 is not affected.”

Image: E.ON