Listed Megawide Construction Corp. and the Araneta family have asked the Construction Industry Arbitration Commission (CIAC) to intervene and resolve their claims related to the construction cost of Gateway Mall 2 and Ibis Hotel in Cubao, Quezon City.
In its disclosure, Megawide said ACI Inc., formerly Araneta Center Inc., has filed a permissive counterclaim for the complaint filed by the construction firm before the CIAC early this year.
“The permissive counterclaim is founded on the alleged violations relative to the construction contract dated 13 September 2019 for the general construction of Gateway Mall 2 and Ibis Hotel in Quezon City between ACI Inc. and the company (Megawide),” the company said in its disclosure.
The contract price for the project is P4.25 billion.
The aggregate of the claims prayed for by ACI in its permissive counterclaim amounts to P1.52 billion.
“MCC intends to file, within the allowed period, an opposition/objection to ACI Inc.’s permissive counterclaims for due consideration of the CIAC Arbitration panel,” it said.
“The permissive counterclaims will not have a significant impact as far as the operations of the company is concerned,” Megawide said.
Image credits: aranetacity.com