Pay up. The Court of Appeals (CA) has ordered the Cebu City government to settle its dues to a private firm over the reconstruction of the Carbon Public Market Unit II.
In a decision penned by Associate Justice Gabriel Ingles, the appellate court’s 18th division said Young Builders Corporation is entitled to get the remaining P6.4 million from the city government which already gave a partial payment of P24.5 million to the contractor.
Ingles, however, opposed Young Builders Corp.’s demand for another P50.7 million for the extra work which were not included in the contract.
“Truly, no prudent businessman would pursue a transaction or proceed with an undertaking knowing pretty well that the additional works are not covered in the contract and have not yet been approved by a competent authority,” the associate justice wrote.
Cebu City Mayor Michael Rama said he is yet to receive a copy of the order.
He complained though that previous City Hall administrations failed to handle their legal cases effectively which is why all the burden is passed on him.
“Wala man gud na nila gitarong ug dala. Ako na nuon ang pabayron? (They did not handle them well. Now is it I who has to pay?)” Rama said.
The case stemmed from a collection case filed by the contractor in 2008, during the administration of Tomas Osmeña, who is now Cebu City south district congressman.
Osmena’s city administrator, Atty. Jose Marie Poblete said he will still need to study the order and see what other legal remedies they can resort to.
“We will try to exhaust all means. We must realize that in terms of government expenditures, money claims against the government, you have to defend that first, he said.