M/s xxx Building Contracting LLC
PO Box xxx, Dubai, U.A.E
T: xxx | F: xxx
Email: xxx
Attention : MR. xxx
Project Manager
Project : xxx Sky Tower – Umm Ramool
Subject: Delayed Release of Advance Payment
Dear Sir,
We refer to your email dated 12th January xxx (copy attached) where you have informed us that the site mock-up is ready to complete our works and required to be completed by the 25th January xxx which we have clearly noted, however, in order for Xxx (Name of the Subcontractor) Interiors to proceed with the works, DECC has to release our Advance Payment in order for us to procure all the necessary materials for the Mock-up Flat.
Please be reminded that we have submitted to DECC our Advance Payment claim as well as the necessary Advance Payment and Performance Guarantees on 19th November xxx and to date we have not receive the Advance Payment. Moreover, in accordance with the Subcontract Agreement Clause 8 – Article 3 that any delay by the First Party or delay in Payment will entitle the Second Party extension of duration of the Subcontract Works, hence, DECC’s delay in releasing the Advance Payment will definitely delay the works which will extend the Subcontract duration.
Notwithstanding our submitted letter reference xxx dated 28th December xxx regarding the delay of release of the Advance Payment still we have not receive to date the Advance Payment nor even a reply from DECC on our letter which is quite surprising.
In view of the above, we reiterate our statement on our previous letter that any charges by our Bank on our Advance Payment and Performance Guarantees will be claimed back with DECC as we do not see any reasons in holding the release of our Advance Payment.
This is for your information and necessary action.
Sincerely Yours,
For Xxx (Name of the Subcontractor) Interiors LLC
xxx
Commercial Manager
