Engineering encounters unscrupulous developer, lawyer sues to recover project payment
In December 2010, Shenzhen Jishui Company signed the "Landscape Fountain Contract" and "Hot Spring In-House Contract" with a developer in Guangxi, stipulating payment within two months after settlement. Soon after, the hot spring water reheating and in-house project passed completion inspection, but disputes between the two companies halted cooperation. After failed negotiations, they settled the project payment at 157.3 yuan in early March 2013. Despite repeated reminders from Jishui Company, the developer still owed 270,000 yuan. Jishui Company then entrusted the Wang Tengfeng legal team from Guangdong Zhiming Law Firm to sue the developer. Lead lawyer Wang Tengfeng assigned team lawyer Cao Guanghui to handle the case.
After the lawsuit was filed, the developer's lawyer argued in court that the project had not undergone a "final" settlement. Since the fountain built by Jishui Company had not undergone final commissioning and acceptance, the previous settlement was merely a "preliminary" one. Additionally, the contract included a clause stating that "maintenance costs incurred without commissioning and acceptance shall be deducted from the project payment." Therefore, Jishui Company also had to pay maintenance fees to the developer.
In response to the developer's sophistry, Director Lawyer Wang Tengfeng issued guiding opinions to firmly refute the above-mentioned "fallacies": First, the premise for the generation of maintenance fees is based on the full performance of the contract, but both parties to the project involved did not fulfill their obligations as agreed before settling midway, so there is no issue of maintenance fees. Second, the construction project has been substantially completed, and the results have been delivered to the developer. However, since both parties terminated the contract performance midway and conducted a settlement, there is no situation of "the project not being finally settled." In summary, although this case does not fall under the final settlement of project completion, based on the contract clause agreed by both parties that payment should be made within two months after settlement, Jishui Company has full grounds to demand that the developer pay all project funds within two months after settlement as per the contract, and also pay an additional interest of 34,000 yuan due to overdue payment.
Combining the guiding opinions of Director Lawyer Wang Tengfeng, Lawyer Cao Guanghui of the Wang Tengfeng legal team and intern lawyer Li Lulu engaged in a fierce and uncompromising courtroom battle with the developer's legal representatives in both the first and second instance trials, ultimately convincing the judges of both instances to set aside interference and fully support and adopt the reasonable claims of the Wang Tengfeng legal team. In the end, this case concluded with Jishui Company winning a complete victory in the first instance, and after the developer appealed, the second instance court upheld the first instance judgment in favor of Jishui Company.