Meydan, Arabtec to hold amicable talks
Dubai, February 27, 2013
Meydan Group and Arabtec Construction have jointly announced that they have reached an agreement to hold amicable discussions towards reaching out-of-court/arbitration resolution of all outstanding claims and counter-claims between them.
It involves the construction of facilities at the Meydan racecourse in Dubai.
Arbitration proceedings were initiated over four years ago following claims and counter-claims regarding payments between Meydan and the 50-50 Arabtec-WCT joint venture. Meydan will also host similar discussions with WCT Berhad, a statement from the group said.
Both companies have agreed, without prejudice to their respective rights and obligations, to withdraw their case from the arbitration process administered by Dubai International Arbitration Centre (Diac). The arbitration process has been halted with no order as to costs. Talks are expected to commence shortly, the statement said.
The Arabtec-WCT joint venture was awarded a contract in September 2007 for the construction of the main building, external and infrastructure works of the Meydan racecourse.
Saeed Humaid Al Tayer, chairman of the board and CEO of Meydan, and Hasan Abdulla Ismaik, Arabtec managing director, said: “We are determined to reach an amicable agreement over all the outstanding claims and counter-claims. Four years of legal proceedings have failed to make sufficient progress so we have decided to find a faster and more practicable way forward to resolve matters.”
“This is a very welcome initiative and we remain optimistic, confident and committed to reaching an amicable out-of-court settlement.” – TradeArabia News Service