2024-02-10 08:12:19
“SOCAR AQSH” LLC, founded by the State Oil Company of Azerbaijan (SOCAR), was fined $94,160. The Baku Administrative-Economic Court No. 1 issued a decision on this recently. The court came to the conclusion that “SOCAR AQSH” does not fulfill its obligations, although it does work, it does not pay the money.
The representative of the American company “MMS Holdings Group LLC” in Azerbaijan fined “SOCAR AQSH” LLC. “MMS Holdings Group LLC” is engaged in the sale and installation of oil products and oil equipment. A contract was signed between them back in 2016. According to the contract, “SOCAR AQSH” had to pay 85 thousand 600 dollars, including 37 thousand 800 dollars and 47 thousand 800 dollars for the services provided to the other party. The payment was supposed to be paid within 22 days after the works were handed over, but “SOCAR AQSH” refused.
The American company claims that it has repeatedly made both written and verbal complaints to the management of SOCAR for the payment of money, but all of them remained unanswered. The non-payment of this debt had a negative impact on the company’s activity, it was unable to carry out many financial transactions, and there were difficulties in tax and other payments.
“THE WORKS HAVE BEEN DEFECTIVE”
The company claimed that if it had deposited that amount in a bank deposit account during the delayed period, it could have made a significant profit. The plaintiff company demanded an additional 8,560 dollars, calculating from 5 percent per annum for 85,600 dollars. He also demanded compensation of 50,000 dollars for moral damage, claiming that his business reputation was hit due to the delay of the money, as a result of which he could not fulfill his obligations.
Ramil Bayramov, the representative of “SOCAR-AQSH” LLC, said that the claim was groundless and asked for it to be rejected. He said that it is true that “MMS Holdings Group LLC” provided the services specified in the contract. But the works performed were defective, as a result, “SOCAR AQSH” was damaged. For this reason, payments have not been made.
The court upheld the claim against “SOCAR AQSH” LLC in the remaining part, except for moral damages of 50,000 dollars. It is based on the fact that after the work was done, the handover deed was signed between the parties, but “SOCAR AQSH” did not complain about the work done.
Moreover, although the representative of “SOCAR AQSH” said that he would present the evidence to the court confirming the poor quality of the works, he did not.
Therefore, the court ordered “SOCAR AQSH” LLC to pay $85,600 principal debt and $8,560 damages, totaling $94,160.
“SOCAR AQS” LLC was established in 2007 by SOCAR and Absheron Drilling Company as a joint venture providing integrated drilling and well services.
Freedom radio