Redhall: will "vigorously" pursue damages totalling £16.7m against Vivergo Fuels

REDHALL ENGINEERING SOLUTIONS LTD has claimed a victory in its ongoing dispute with Saltend based Vivergo Fuels.

Redhall had its contract ended by Vivergo Fuels in March 2011 for falling behind on its contractual obligations. But an independent adjudication has found that Vivergo Fuels had unlawfully attempted to terminate its contract with the Company and, by denying the Company's workforce access to the site, had repudiated the pipework contract for the new bio-ethanol plant at Saltend.

In a statement on Insider Media Redhall has said it will "vigorously" pursue damages against Vivergo Fuels totalling £16.7m. This includes the costs of settlement with the Company's former employees on the Vivergo site and legal fees.

Local people and commuters became aware of the dispute in March as a result of massive queues and tailbacks on the roads leading up to the Saltend construction site. The dispute between the two companies had prompted industrial action by unions acting on behalf of 430 workers who were effectively 'locked out'.