Legal step for Czech tunnel project

The torturous legal case regarding the stalled Blanka Tunnel project in the Czech Republic has taken one step forward. An arbitration court in the country has ruled that the tunnel has to be completed within five months' time. The construction work was halted earlier due to a dispute between the contractor and the city authorities. The tunnel is required to help reduce traffic congestion in the Czech capital Prague with work having commenced in 2007. The project was originally supposed to be ready for traff
April 23, 2014 Read time: 2 mins
The Blanka Tunnel in the Czech capital Prague features innovative technology but work has been hit by legal issues
The torturous legal case regarding the stalled Blanka Tunnel project in the Czech Republic has taken one step forward. An arbitration court in the country has ruled that the tunnel has to be completed within five months' time. The construction work was halted earlier due to a dispute between the contractor and the city authorities. The tunnel is required to help reduce traffic congestion in the Czech capital Prague with work having commenced in 2007. The project was originally supposed to be ready for traffic by 2011 but costs spiralled and this was one of several factors along with allegations of performance targets not having been met that gave rise to the current complex court cases. This latest judgement calls for the city of Prague to pay some €145.64 million to the construction firm Metrostav. However the firm is seeking an additional €36.4 million from the city, which will be handled in court in June 2014.
Finance & Funding Road Structures

Related Content

  • Troubles deepen for contractor Odebrecht
    February 24, 2017
    Brazilian contractor Odebrecht is facing serious issues with regards to projects in Colombia and Peru. In Colombia the contract to build the Ruta del Sol II highway, at present 54% complete, is being terminated. Odebrecht is one of the partners in the The Consorcio Estructura Plural Promesa de Sociedad Futura Concesionaria Ruta del Sol consortium that was carrying out the contract. The consortium partners have also agreed not to claim for any compensation. In Peru meanwhile there is increasing pressure
    Read More
  • Infrastructure spending aids economic growth
    March 14, 2012
    AT THE TIME of year it is worth considering how strong the construction market will be towards the end of 2010 and on into 2011.
    Read More
  • Infrastructure spending aids economic growth
    February 21, 2012
    AT THE TIME of year it is worth considering how strong the construction market will be towards the end of 2010 and on into 2011. The build-up to the Bauma construction equipment exhibition in Munich, the world's largest exhibition, has helped fuel new product introductions from manufacturers, attracted contractors to visit the event and brought healthy interest to the construction sector as a whole.
    Read More
  • Central Ring Road to become one of most important projects in modern history of road-building in Russia
    December 16, 2014
    Moscow’s new ring road will provide a major economic boost and tackle congestion - Eugene Gerdner writes The Russian Government has officially started building of the Central Ring Road (CRR), one of the largest infrastructural projects in the modern history of the country. Total volume of investments in the project is estimated at more than US$7.2 billion (300 billion RUB). Building of the road should be completed by the World Cup 2018 and will be carried out as part of the existing state program ‘The de
    Read More

Highlighted Content