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Infrastructure: Penalties of 75 million lei applied to company building Barcau-Bors highway and notification for contract termination


The National Administration Company for Road Infrastructure (CNAIR) issued penalties of 75 million lei for the company dealing with the construction of Barcau-Bors highway and sent notifications requesting the termination of the contract, a company press release shows.

“Since the issue of the Initiation of the order for the execution of works at Suplacu de Barcau-Bors highway (May 2015) CNAIR asked the entrepreneur to fulfil contract obligations. During this period of time, the contractor proved its incapacity to fulfil its contractual obligations and lack of mobilization to complete works,” the document shows.

According to CNAIR, penalties of 75 million lei were applied.

“In the same context, the company showed its intention to terminate the contract and the possibility to organize a new tender for the completion of the project.

As a consequence, the construction company, when demonstrating that it is in financial and organisational incapacity sent a Notification through which they require the termination of the contract. Taking into consideration the existing situation, for this project to be finalised, the only option which the company could take is that of terminating the present contract and re-bid the project’ the CNAIR says.