SCA 381/2019

This case involved liability for issues in a construction contract. The defendant company had used concrete which had defects. However, they had purchased that concrete from another company.

Background

A company filed a case against a company before the court. The company requested the court to order the other company to pay 865000 Riyals. The company said that a ruling had been issued against them because they had used concrete with many defects in a project for a third party. The company said that they had bought the concrete from the other company.

The other company said that they had not been informed about any problems with the concrete.

Decision

The court said that the case documents revealed that the contract amount was 202730 Riyals. The court said that the other company should not bear the responsibility for the mismanagement of the project conducted by the first company.

The court ruled that the second company should pay the first company 202730 Riyals.

The court of appeal upheld the ruling based on the same grounds.