Ukrnafta returned the money paid for a drilling rig not received almost a year later

Ukrnafta PJSC appealed to the Economic Court of the Kharkiv region with a claim to the state enterprise Kharkiv Plant of Transport Equipment, in which it requested the court to recover from the latter UAH 4.1 million.

On August 3, 2017 the parties made the sales contract for the delivery of the rig UPA 60/80 on the KraZ-63221-05 chassis for a total of UAH 6.3 million.

UPA 60/80 is the rig the completion and repair of oil and gas wells. It is used for completion, current and capital work over in the oil and gas wells.

On August 11, 2017 Ukrnafta made an advance payment of UAH 3.2 million. Accordingly, the delivery should have been performed by November 8, 2017. However, as of today the delivery has not been made.

The court considers that the claim demands of the plaintiff in respect of the recovery of UAH 3.2 million from the defendant, SE KhPTE, shall be satisfied. Also, the defendant has violated the agreed delivery term, due to which it is obliged to pay a penalty of 10 % of the contract value, i.e. UAH 630 thousand.

However, the court believes that satisfaction of the requirements on the recovery of 3% per annum of UAH 236.3 thousand and inflation losses of UAH 107.1 thousand shall be refused.

Thus, the court decided to satisfy the claim in part and to recover from the State Enterprise Kharkiv Plant of Transport Equipment in favor of Ukrnafta UAH 3.2 million of debt (advance payment), UAH 630 thousand fines, and UAH 56.7 thousand of court fees.