EDP INGENIERÍA Y CONSTRUCCIÓN is a Peruvian company engaged in the execution of civil works.
As part of its activities, EDP celebrated the following contracts with the company Inversiones en Cemento S.A. (hereinafter, Ivercem): (i) Civil Works Execution Contract for the Ivercem – Pisco plant; (ii) Civil Works Execution Contract for the construction of sub-slab for silos, reception hoppers, dosing and loading area for the Ivercem plant; and (iii) Civil Works Execution Contract for the foundations for the Ivercem plant.
In this regard, EDP has been executing the works related to the three contracts; however, Ivercem has failed to pay the valuations of the works executed, for which reason the works have been suspended until Ivercem complies with the payments due. Likewise, the defendant owes our client the costs of standby equipment, due to the stoppage of work. For this reason, in view of the serious economic damage that this controversy means for EDP, our client has entrusted us with the initiation of an arbitration process against Ivercem intended to collect the owed amount of 1´200,000.00 PEN (peruvian currency), which currently represents approximately 315,000 USD; an amount that has also been ratified by the debtor company itself.
