Compensation For Injuries And Damages Due to Expropriation Delays

27 October 2008

The Supreme Court has handed down a very interesting sentence in and for the government contracting sector which distinguishes and concludes the right to compensation for injuries and damages deriving from the cancellation of a contract with a governmental body.

The case in question deals with a contract for a new water supply tube wherein the Cantabria Public Works, Housing and Urban Council had decided to overrule the request for payment of injury and damages.

The Cantabria Superior Court of Justice partially allowed the compensation claim, and the Supreme Court ratified said ruling, and therefore, finally, the aforementioned Cantabria Council must pay compensation since the cancellation of a stretch of the works, attributable to the governmental body (as in the case at hand since the delay was due to unfinished expropriation proceedings) caused injury and damages.

For further information, please contact Alex Ensesa Casulleras: