RosCo Litigation Lawyers Defended the Interests of the Subsidiary of a Turkish Construction Company

MEG LLC is a subsidiary of the Turkish construction company Marin Engineering Group. The organization specializes in engineering surveys, technical design, project management, construction supervision, and architectural oversight.

RosCo’s lawyers represented the client in a legal dispute regarding a counterparty’s refusal to pay for completed works.

The client entered into a contract with RSK LLC, under which the contractor undertook to prepare documentation for the development of design solutions for the project “Logistics Technopark (Korsakov Port)”. The Sakhalin branch of FSUE Rosmorport (the state customer of the project) approved MEG LLC as a subcontractor for the preparation of project documentation.

The contractor completed all stages of the work under the agreement and delivered the results on the agreed date. However, the customer refused to pay, thereby violating the contract terms.

The contract price amounted to RUB 18 million. The customer had paid an advance of RUB 9 million but refused to pay the remaining RUB 9 million.

Additionally, the customer breached the agreement by refusing to enter into a new contract for the preparation of project documentation based on the design solutions developed by MEG LLC. The parties had stipulated a compensation payment of RUB 12 million for refusal to conclude the agreement.

Thanks to the qualified support of RosCo’s lawyers, the client’s claims were fully satisfied by the court. Based on the court’s decision, the defendant was ordered to pay RUB 22 million, including:

• Debt under the contract — RUB 9 million;
  
  

• Compensation — RUB 12 million;
  
  

• Interest for unlawful use of funds — RUB 1.23 million;
  
  

• State duty — RUB 134,158.
  
  

RosCo’s lawyers ensured that the claim for the penalty of RUB 12 million for non-performance of obligations was upheld without application of the rule on penalty reduction.