Contractors ordered to pay €100,000 damages for pulling out of roadworks

Two contractors have been ordered to pay around €100,000 in damages and fees between them after they refused to carry out roadworks despite being the winning bidders. 

In two separate judgments handed down this week, the court ordered the contractors to pay damages to roadworks agency Infrastructure Malta after they refused to carry out excavation and laying work.

The works were meant to cover mostly countryside lanes, including part of the Victoria Lines, in Naxxar and other quiet roads in Dingli, Siġġiewi and St Paul’s Bay that were delayed for months. 

The two judgments are being described as “landmarks” in legal circles as they may have an impact on the way public contracts are handed out in the future.

In particular, the judgments lay out that, although no contracts had been signed, pre-contractual agreements, such as a bidding process, are to be respected.

'Bitumen needed was double'

The first tender, issued in 2019, was for the resurfacing of several rural roads and won by Restoration and Construction Services Group Limited.

The court heard that, despite entering into a pre-contractual agreement, the contractor had allegedly not acted in good faith.

Instead of proceeding...