Completion of Work at xxx
M/s xxx Pojects Co.
P.O. Box xxx, Riyadh, K.S.A
Tel : xxx
Fax: xxx
Attention: Mr. xxx
Chief Executive Officer
Cc: Eng. xxx
Sr. Project Engineer
Eng. xxx
Project Manager
Project: xxx Project -KSA
Subject : Completion of Work at xxx
Dear Sir,
We refer to our recent meeting on 21st December xxx at Manafea Office in Riyadh where we have discussed Xxx(Name of the Sub-Contractor) Interiors outstanding retention amount for the above project and to your subsequent email dated 21st December 2015 where you have listed the alleged uncompleted works by Xxx(Name of the Sub-Contractor) Interiors which came as a surprise to us as we have not received any official notification previously regarding those alleged outstanding issues.
Please be informed that although we have understood that there is no Taking Over Certificate issued for the project, it is however, surprised us to receive such a long list of apparent outstanding issues which were not raised prior to the actual occupancy of the premises. It is a fact that in the absence of any snag list issued prior to the occupancy of the premises, that Xxx(Name of the Sub-Contractor) Interiors completed works have met the Client’s satisfaction; otherwise, all the issues recently raised should have been highlighted earlier. Please refer to Article 6 – Section 6.3 of the Contract Agreement where it is mentioned that “if the Owner rejects all or any portion of the delivery, the Owner shall notify the Vendor within reasonable time, which shall not be more than 30 days after the date of the inspection pursuant to Section 6.2 of the contract”.
Furthermore, in accordance with the Article 15 – Section 15.1.3 it is stated that “the Vendor and the Owner waive Claims against each other for consequential damages arising out of or relating to this Contract. The mutual waiver includes damaged incurred by the Owner for rental expenses, losses of use, income, profit, financing, business and reputation, and for loss of management or employee productivity or of the services of such persons”.
Therefore, the deduction of SR 1,000 per room per day in our account as mentioned in your email is totally unacceptable and not in accordance with the contract terms and conditions. Rest assured that we will do our best to cooperate with the Owner in the rectification of works which is proven to be due to faulty manufacturing and workmanship, however, any rectification that is due to normal wear & tear, abuse of used and damages caused due to improper usage will be rectified at additional cost.
In view of the foregoing, we request for the immediate release of our retention amount as any delay in the release will have an impact on our cash flow situation.
We look forward to your understanding and consideration regarding this matter and we really appreciate your positive and favorable response.
Best Regards,
For: Xxx(Name of the Sub-Contractor) Interiors L.L.C.
xxx
Commercial Manager