SCA 2192/2019
This case involved failure to pay the outstanding amount on a completed construction contract. It was argued this was because the claimant failed to provide a banking guarantee as required by the contract.
Background
A company filed a case against a company before the court. The company requested the court to order the company to pay 252895 Riyals. The company said that they had finished a project for the second company but the latter had failed to pay the remaining value of the project.
The second company said that the first company had failed to provide a banking guarantee for one year as stipulated by the signed contract.
Decision
The court said that the case documents revealed that the second company's claim was valid.
The court dismissed the case.
The first company appealed the ruling before the court of appeal.
The court dismissed the appeal and upheld the appealed ruling.