A. Contractor XYX and the Province of Tawi-Tawi, as Project Owner, had a construction dispute. Pedro...

 

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A. Contractor XYX and the Province of Tawi-Tawi, as Project Owner, had a construction dispute. Pedro was Claiming for the return of Retention Money equivalent to P5,000,000.00 inclusive of Arbitration Fees, Attorney's Fees and Moral Damages. The project owner made a Counterclaim in the total amount of P7,000,000.00 representing damages for defective works, damages for delay (Liquidated Damages) as well as Moral Damages, Exemplary Damages, Arbitration Fees and Attorney's Fees. XYZ filed the Case before the CIAC on August 17, 2021. After 115 Days, or today December 10, 2021, the Construction Arbitral Tribunal ruled that the Contractor is entitled to a Total of P3,000,000.00. The Award is with interest until the Award is paid. b. a. In the imposition of interest, what do you think was the rate of interest AND what will the reckoning date of interest: From the Date of filing of the case or From the Date of Tribunal Award? Briefly state your reason. c. If the Government did not make any further legal steps and opted to pay after 200 Days from the date of Award, how much will be the total amount due from the Government? Why? B. A civil engineer presently receives a monthly salary of P80,000.00. His invested savings earn 14%. Ever inspired by the adage "it is better to be a head of a rat than to be a tail of a lion," he entertained an alternative investment whereby he expected to realize a 20% return on investment and which at the same time shall comparatively assure him the enjoyment of his present perks benefits. Such alternative investment involves the procurement of various equipment and the manufacture of new construction materials. The following are the relevant yearly projected data: Total Revenue Total Depreciation Raw Materials Labor Costs Other Expenses Should he pursue the Alternative? Briefly Explain. P 1,000,000.00 3,300,000.00 1,500,000.00 1,200,000.00 ---P10,000.000 A. Contractor XYX and the Province of Tawi-Tawi, as Project Owner, had a construction dispute. Pedro was Claiming for the return of Retention Money equivalent to P5,000,000.00 inclusive of Arbitration Fees, Attorney's Fees and Moral Damages. The project owner made a Counterclaim in the total amount of P7,000,000.00 representing damages for defective works, damages for delay (Liquidated Damages) as well as Moral Damages, Exemplary Damages, Arbitration Fees and Attorney's Fees. XYZ filed the Case before the CIAC on August 17, 2021. After 115 Days, or today December 10, 2021, the Construction Arbitral Tribunal ruled that the Contractor is entitled to a Total of P3,000,000.00. The Award is with interest until the Award is paid. b. a. In the imposition of interest, what do you think was the rate of interest AND what will the reckoning date of interest: From the Date of filing of the case or From the Date of Tribunal Award? Briefly state your reason. c. If the Government did not make any further legal steps and opted to pay after 200 Days from the date of Award, how much will be the total amount due from the Government? Why? B. A civil engineer presently receives a monthly salary of P80,000.00. His invested savings earn 14%. Ever inspired by the adage "it is better to be a head of a rat than to be a tail of a lion," he entertained an alternative investment whereby he expected to realize a 20% return on investment and which at the same time shall comparatively assure him the enjoyment of his present perks benefits. Such alternative investment involves the procurement of various equipment and the manufacture of new construction materials. The following are the relevant yearly projected data: Total Revenue Total Depreciation Raw Materials Labor Costs Other Expenses Should he pursue the Alternative? Briefly Explain. P 1,000,000.00 3,300,000.00 1,500,000.00 1,200,000.00 ---P10,000.000

Answer rating: 100% (QA)

A According to the CIAC the contractor is entitled to a total of ... View the full answer