Firm ordered to pay BD139,000 plus interest for defaulting on subcontract

TDT | Manama

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The High Commercial Court has ordered a Gulfbased construction company to pay BD139,000 to a subcontractor, plus 4 per cent annual interest, for unpaid invoices on a medical centre project. The ruling carries immediate enforcement.

The case was brought by the subcontractor, represented by lawyer Batool Safar, who argued that a subcontract signed on 7 January 2021 required her client to supply labour for the project. While the work was completed and invoices were issued, the company allegedly withheld BD139,000 in payments despite formal notice.

Court documents showed that monthly instalments were due within 60 days and had been settled up to July 2024. From August 2024 to January 2025, however, the defendant stopped paying, leaving the balance outstanding. The firm did not attend the case management office, prompting the court to refer the dispute for investigation.

During hearings, the subcontractor’s manager — employed at the firm since 2006 — testified that the defendant repeatedly promised to settle the invoices within a week but failed to follow through. His account was supported by testimony from an electrical engineer and the company accountant.

Following the close of investigations, Safar filed a rejoinder upholding the claim and submitted additional evidence, including time cards and an undertaking from the project owner to pay the subcontractor directly, provided the defendant raised work or material inspections approved by the supervising engineer.