Request to reimburse L/C charges

Our Ref: xxx

Date: xxx

To                           : xxx Contracting Company LLC

                               P. O. Box xxx, Dubai, U.A.E.

Attention            : Mr. xxx, Senior Project Manager

Project                 : xxx Tower, Dubai – U.A.E.

Subject:                Request to reimburse L/C charges

References:       a) Main Contractor’s letter: xxx dated 28 January xxx

b) M/s xxx (Contractor Name) letter Uxxx dated 09 December xxx                           

Dear Sir,

We are writing to you following our previous letter ref (h) to inform you that we have been charged an amount of AED xxx as L/C charges from your bank.

We remind you that as per our Subcontract Agreement, Clause 16, Payment, L/C Terms, “All charges related to Applicant’s bank shall be borne by Contractor.”

This charge that M/s xxx (Contractor Name) has incurred is due to your disregard to the Terms of our Subcontract and your amendment of the L/C incorporating a condition to recover the amendment charges from M/s xxx (Contractor Name) (appendix 1) which is not acceptable.

We attach for you the payment advice (appendix 2) related to invoice no. xxx (appendix 3) against PC no. 07 (appendix 4) in which the Net Certified amount is AED xxx.

The breakdown of the payment received is detailed in the table below:

Accordingly, we urge you to reimburse the amount of AED xxx on immediate basis via Current Dated Cheque.

M/s xxx (Contractor Name) will not be liable for any consequences caused by your default on your contractual liabilities and we reserve our rights under the Terms of our Subcontract Agreement to claim for all the damages and loss your default has caused to M/s xxx (Contractor Name) in addition to an Extension of Time (EOT) equivalent to the same number of days by which the advance payment, L/C establishment, certification and progress payments are delayed.

Yours faithfully,

On behalf of M/s xxx (Contractor Name) LLC

xxx

Projects Manager