Nyoka v Nunzio [2024] DIFC SCT 098 (29 July 2024)

Nyoka v Nunzio [2024] DIFC SCT 098 (29 July 2024)

Termination was lawful under Clause 19(7) due to Claimant’s failure to request further extension of time, but Defendant also breached by failing to pay invoices on time. Claimant entitled to payment for works completed. Defendant entitled to compensation for certain third-party contractor works post-termination. Delay penalties, rent, and loss of profit counterclaims rejected as not solely attributable to Claimant and not contractually owed.

Citation
[2024] DIFC SCT 098
Parties
Claimant/defendant in Counterclaim: Nyoka; Defendant/claimant in Counterclaim: Nunzio
Jurisdiction
United Arab Emirates
Judgment Date
29 July 2024
Procedural Posture
Small Claims Tribunal / Final Judgment
Outcome
Claim partly allowed, counterclaim partly allowed, other counterclaims dismissed.
Legal Topics
Breach of Contract, Termination of Contract, Delay Penalties, Third Party Contractor Claims, Loss of Profit, Rent Liability, Fit Out Agreements
Contract Law Construction Law Breach of Contract Termination of Contract Delay Penalties Third Party Contractor Claims Loss of Profit Rent Liability +1 more

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Parties

Nyoka

Claimant/defendant in Counterclaim

Nunzio

Defendant/claimant in Counterclaim

Procedural Posture

Small Claims Tribunal / Final Judgment

Legal Issues

  1. 1 Was the termination of the Fit-Out Agreement lawful?
  2. 2 Is the Claimant entitled to payment for works completed?
  3. 3 Is the Defendant entitled to compensation for third-party contractor works?

Ratio Decidendi

Termination was lawful under Clause 19(7) due to Claimant’s failure to request further extension of time, but Defendant also breached by failing to pay invoices on time. Claimant entitled to payment for works completed. Defendant entitled to compensation for certain third-party contractor works post-termination. Delay penalties, rent, and loss of profit counterclaims rejected as not solely attributable to Claimant and not contractually owed.

Court Disposition

Claim partly allowed, counterclaim partly allowed, other counterclaims dismissed.

Orders

  • Defendant to pay Claimant AED 486,952.77 for works completed.
  • Claimant to pay Defendant AED 306,661 for third-party contractor works.