Qatar Air launches $600m airport legal claim

Action to be taken against contractor as New Doha International Airport opening faces major delay


Most powerful Arabs in the world: in pictures

1. Prince Alwaleed bin Talal Al Saud Eight years of the Arabian Business Power List, and eight years in the top slot for Prince Alwaleed. Profits at his Kingdom Holding Company for Q1 this year surged 11.3% to $26.8m, boosted by the sales of its stake in Toronto’s Four Seasons Hotel and its share of the Oasis Kingdom project in Riyadh. The group is one of world’s largest and most diversified private investment companies with holdings in a large number of Saudi Arabian, Middle Eastern and international companies. Today, Kingdom Holding Company, of which he owns 95 percent, covers 39 investments in seven sectors. It is the largest foreign investor in the US, with stakes in the likes of News Corporation, Time Warner, Apple and Citi. Regionally, major players from Samba Financial Group to Savola all have the KHC stamp on their shareholdings. But despite so much success, there is no sign of the prince slowing down, with the last 12 months witnessing phenomenal growth. He announced plans to construct the world’s tallest building, the Kingdom Tower, in Jeddah. In the next year, he will also roll out his own 24-hour news channle, Alarab, based in Bahrain, which will directly compete with the likes of Al Jazeera and Sky News Arabia. And he continues to be one of the globe’s most prolific philanthropists, having donated more than $3bn to good causes.

Sunday, 10 Jun 2012 8:30 AM
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Posted by: Archer

LDI have obviously " reserved their rights " whilst encountering delays in receiving the site.
Will be interesting to see which Legal Authority handles the case , assuming, QA is indeed the Client who has signed the contract directly with LDI and not the Main Contractor.

Posted by: Peter Hudson

The way the Qataris are going, they will soon have no one willing to work for them except the local carpenters!

playing hardball is not the best way to instill confidence in the minds of international contractors.

Good contractors are necessary to build world class projects and work in a collaborative fashion. . Qatar may have the money for now but they need to realize that to compete with Dubai they need a progressive mindset as well. Being unfair and hard assed will get them nothing

Posted by: Alex

I find it hard to believe that because of 250m of contract in a 15b project, a project would be delayed by a year. I saw it in Dubai when part of the new terminal was completed and bits and pieces not. Also it seems a bit one sided in my eyes. Al Bakar using the Media to blame LDI with accusations, but I am missing comments from people who actually work on site who say what they see every day. I am sure Al Bakar doesn't spend 24/7 on site, and those who show him around, surely won't tell him someone along the line screwed something up, even it is the main contractor. But lets see if we get some actual input from people on site.

Posted by: Kashif Chaudhry

I have been in Qatar for the last four years and the NDIA is just a mirage, the fault resides with not the contractors but the nuisance created by various authorities and that is why the work started late. End of the day Mr. Bakker needs to accept fault rather than file a law suite and claim damages? Happy the legal fee is still unaccounted for.

Posted by: NJM

Claiming $600 million from a $250 million contract can't be right. It would be a contractor trap or perhaps good business with questionable morality.

Where were all the Client's firms watching over this project, and how badly can a contrator perform before you limit your damages? And where is the Contrator's limited LD liability of 10%? Or is it that the last one leaving the party gets stuck with the bill?

Something is drastically wrong with this story.

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