Settled!

Cable and Wireless Jamaica, operating as FLOW, has abandoned pursuit of a multimillion-dollar lawsuit against China Harbour Engineering Company (CHEC) and the Government for damage allegedly done to its infrastructure during the Major Infrastructure Development Programme (MIDP) after the parties settled the matter.

Following two days of adjournment to finalise settlement discussions, lead attorney-at-law for CHEC, King’s Counsel (KC) Denise Kitson yesterday informed Justice David Batts in the Supreme Court that agreements had been reached and had been endorsed by counsel for the parties.

The trial, which started on November 6 and ran for three days, was scheduled to resume on Monday but was adjourned after Kitson asked for additional time for the parties to try and arrive at a settlement.

She indicated then that the parties had started discussion during the break and were hoping to be in a more definitive position.

However, Kitson, when asked for comment on the settlement, declined while noting that the terms are confidential.

But CHEC’s lead attorney-at-law, Maurice Manning, KC, expressed satisfaction that the parties were able to resolve the matter without having an extended trial.

“We had not completed the examination of the claimant’s first witness in November when the trial was adjourned to this week.

“We consider that the evidence solicited on cross-examination significantly influenced the compromise that was reached and we appreciate the indulgence of the court in allowing the parties enough time to work through the issues and maintain amicable relations moving forward,” he said.

Rebates to customers

The telecommunications giant was seeking to recover approximately $124 million, which it had spent to lay new conduits and repair the damaged cable networks along the various roads across the Corporate Area, which was a part of the programme.

Additionally, FLOW also wanted compensation for monies rebated to customers when the system was down as a result of the infrastructural damage.

The company, in its lawsuit, had named the National Works Agency (NWA) as the first defendant and the attorney general of Jamaica as the second. CHEC was the third defendant.

The telecommunications company was contending that the Government and/or its servants or agents, as well as CHEC, the main contractor, caused significant damage to its infrastructure along several roadways in the Constant Spring area, on Mandela Highway, in Hagley Park, Barbican Road, Camp Road, and in the Three Miles area.

This damage, Cable & Wireless alleged, caused it to incur significant loss and expenses.

According to Maurice Simpson, civil works manager at FLOW, the company was forced to fork out $124.1 million to lay new conduits and to repair the damaged cable networks along the various roads.

He told the court during the trial that the NWA had failed to provide the company with funds to assist in relocating its infrastructure during the project.

Simpson also testified that CHEC disregarded FLOW’s infrastructure and was primarily focused on carrying out the roadwork.

At the same time, FLOW Jamaica denied that it had resisted the Government’s effort to coordinate with the telecoms company to relocate its infrastructure throughout the project.

CHEC’s lawyer, however, during cross-examination, suggested that FLOW Jamaica had used the project as a cover to change out its old infrastructure.

FLOW had admitted that at the time of the project, there were old asbestos pipes and infrastructure dating back to the 1960s in the Constant Spring, Hagley Park, and Three Miles segments of the MIDP.

Attorney-at-law Regina Wong also appeared for FLOW while attorney-at-law Mark-Paul Cowan also represented CHEC.

Lisa White, Annaliesa Lindsay, Karessiann Gray, and Rochelle Duncan, of the Attorney General’s Department, represented the first and second defendants.

tanesha.mundle@gleanerjm.com