23.1.1 The effect of a change of pleadings on an offer to settle.

THE FACTS

Just before a hearing was scheduled to begin the respondent applied to amend its defense to assert that the claimant’s claim for loss and expense, in respect of part of the development, had been compromised by an agreement made between each side’s quantity surveyors. The claimant disputed this. It was tried as a preliminary issue, with the arbitrator deciding in favour of the respondent.