Settlement in Poznan tramline case with DZP’s assistance

Our law firm’s lawyers have successfully advised a consortium of PORR Polska Infrastructure SA, ZUE SA and Przedsiębiorstwo Budowy Kopalń PeBeKa SA in a dispute with the City of Poznan City Transport Management and the company Poznańskie Inwestycje Miejskie sp. z o.o. The dispute was heard by the Court of Arbitration at the Polish Chamber of Commerce in Warsaw and involved payments under a contract to construct a tramline from Lech housing estate to Franowo in Poznan.

On 20 February 2015, the Court of Arbitration issued a partial judgment in which it found that the City of Poznan City Transport Management was not entitled to bring a claim for contractual penalties for failure to perform the subject-matter of the contract by the deadline set in the contract. The Court then awarded the consortium the remuneration due to it of PLN 6.4 million plus interest.

The dispute recently ended with a settlement which on 22 December 2015 was given the form of a final judgment. In accordance with the terms of the settlement, the Court of Arbitration awarded PLN 9.7 million against the City of Poznan City Transport Management to meet all the consortium’s claims relating to performance of the contract of 21 March 2011 to construct a tramline in Poznan.

The team at DZP that advised the consortium was composed of Tomasz Darowski, Partner, Paweł Lewandowski, Partner, Paweł Paradowski, Partner, Tomasz Michalczyk, Senior Associate, and Michał Kucharski, Associate.