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On 17 August 2020, GDDKiA submitted a notice to Trakcja S.A. regarding its withdrawal from the contract for the extension of state road No 22 between Czarlin and Knybawa.

Trakcja S.A. wishes to announce that it does not agree with the charges raised in that notice. Furthermore, having analysed the facts of the case and the legal grounds of the notice submitted by GDDKiA, the Company takes the view that the withdrawal notice is ineffective.

The changes in the work schedule have arisen, for the most part, from the inability to implement the contract and achieve the planned result due to GDDKiA's failure to deliver the correct and complete documentation, which represents a breach of the fundamental responsibility of any Contracting Entity that announces a public procurement tender for construction works.

Not only was the documentation delivered to the Contractor incomplete, but it did not present the true condition of the facilities to be revitalised, including key bridge facilities. Having regard to the safety of road users, Trakcja S.A. could not accept to commence the works on the basis of the documentation obtained from the Contracting Entity.

A Disputes Committee, appointed in accordance with the contract and independent from Contracting Entity and the Contractor, found that due to various circumstances, including the aforementioned facts, the completion date should be formally changed and that Trakcja S.A. should be entitled to additional remuneration for the additional work required to implement the contract. However, GDDKiA has failed to comply with the Disputes Committee's decision and imposed contractual penalties on the Contractor.

Having regard the quality of work, commitment to user safety as well as its intention not to expose the Company to losses related to the lack of cooperation on the side of GDDKiA, Trakcja S.A. will take further factual and legal steps in the case concerned.

Warsaw, 18 August 2020

komunikacja@grupatrakcja.com

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Trakcja PRKiI SA published this content on 18 August 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 20 August 2020 08:11:15 UTC