NPD Ltd is liable to pay GCC Engineering Ltd the outstanding contractual debt of 129,096,855 Frw for construction works, plus interest for late payment calculated at the average lending rate (10%) for one year and eight months, as NPD Ltd failed to prove any overpayment or counterclaim. Additional damages for economic loss and moral prejudice were denied as not sufficiently substantiated or previously pleaded. Legal costs are awarded to GCC Engineering Ltd as the prevailing party.
The Court of Appeal held that the insurer was not liable because the 60,000,000 Frw advance was used for construction as intended, so the claim failed.
The Court of Appeal held that the advance payment was used for construction work, so the insurer was not liable under the guarantee. The appeal failed, but costs were adjusted.