ARMADA 5210 BUMI ARMADA BERHAD comes out empty-handed in US$284 mil legal battle against former client

 ARMADA 5210 BUMI ARMADA BERHAD comes out empty-handed in US$284 mil legal battle against former client

KUALA LUMPUR (Nov 10): Bumi Armada Bhd has concluded its six-year legal dispute with former client Australia-based Woodside Energy Julimar Pty Ltd (WEJ), with the offshore production and support services provider failing to obtain any of the claims it sought.

The dispute relates to a terminated RM1.46 billion charter contract between Bumi Armada’s unit Armada Balnaves Pte Ltd (ABPL) and WEJ, which prompted ABPL to file a suit in 2016 at the Supreme Court of Western Australia to seek a declaration that WEJ’s termination of the contract was a repudiatory breach.

It also claimed US$283.51 million for damages in the suit. The damages that ABPL sought comprised payment that the unit claimed it would have been entitled to had the contract not been breached, and US$7.7 million for work done and materials supplied.

The matter was put to rest on Thursday (Nov 10) after the High Court of Australia dismissed ABPL’s bid to appeal a Court of Appeal of the Supreme Court’s (COA's) judgement, as well as ordered ABPL to pay WEJ’s legal costs.

“Today’s decision brings this matter to a conclusion,” Bumi Armada said in a filing on Thursday.

Previously, the Supreme Court decided in favour of WEJ in regard to ABPL’s suit, which led to ABPL filing an appeal at the COA against the decision. However, the COA decided in favour of WEJ in the application on June 24 this year, which then led to ABPL seeking special leave (permission) to appeal "part" of the appellate court's judgement. This application was the one dismissed on Thursday.

Shares in Bumi Armada finished down half a sen or 1.16% at 42.5 sen, giving the company a market capitalisation of RM2.49 billion.

Read also: Bumi Armada loses appeal in US$283.5 mil case against Woodside over FSPO deal termination

http://www.theedgemarkets.com/article/bumi-armada-comes-out-emptyhanded-us284-mil-legal-battle-against-former-client