advertisement
Companies

Tatu City wins Sh1.4bn contract dispute

Tatu City in Kiambu. file photo | nmg
Tatu City in Kiambu. file photo | nmg 

The High Court has lifted orders stopping infrastructure construction at a section of Tatu City in Kiambu over a Sh1.4 billion dispute.

Justice Joseph Onguto lifted the orders when he dismissed the application by Ongata Works Ltd, which had obtained a temporary order on December 22.

Tatu City Ltd had differed with Ongata Works Ltd, a local contractor hired to build trunk and access roads and other infrastructure at the expansive project at a cost of Sh1,442,460,961.

The contractor was given 14 days to leave the project.

The firm had wanted the High Court to stop the construction and further restrain Tatu City from awarding the tender to another contractor as parties proceeded for arbitration.

advertisement

“In the totality of the evidence and the circumstance of this case, I am unable to find that absent all or any of the sought interim measures of protection, the arbitral process or ultimate award will be compromised,” ruled the judge.

“The interim orders are hereby vacated and discharged. The remainder period of the termination notice will now run to its end and as per the contract between the parties with the post termination provisions thereafter taking effect,” he ordered.

advertisement