A court order that stopped the construction at the multi-billion-shilling Tatu City in Kiambu County has been extended after Ongata Works executed a bond of Sh140 million as a condition for granting the injunction.
Click this link to read the court order: Tatu City injuction
In the latest dispute, Tatu City Ltd differed with Ongata Works Ltd, a local contractor hired to construct trunk and access roads and other infrastructure at the expansive project at a cost of Sh1,442,460,961.
The contractor and the developer differed on December 13 after Tatu City ordered Ongata Works to leave the site, citing failure by the contractor to comply with certain instructions.
Tatu City gave Ongata Works 14 days to leave the project.
But the contractor went to court and obtained orders restraining the developer from evicting them and taking over the site pending the hearing of the case.
Ongata Works accused Tatu City of frustrating and obstructing their work and changing instructions along the way leading to delays in completion.
On December 22, Justice Joseph Onguto ordered the status quo to be maintained, meaning the contractor would remain on the site pending the hearing and determination of the case, but no construction work would go on.
And when the matter came before Justice Tuiyot, the judge extended the order suspending the construction pending the hearing of the application on January 16.
In their application, Tatu City argued that extending the order for status quo would make them liable to third parties to the tune of $7,047,547 (about Sh700 million).