A case before the Milimani Commercial courts today pits Ruwatex Africa against Typsa Consulting.
Last Friday, Judge Janet Mulwa issued a temporary order restraining the termination of an agreement between the two firms.
Ruwatex had been contracted by Typsa to recover debt from the government on its behalf.
In documents filed in court, Ruwatex says in August 2019, it entered into an engagement agreement with Typsa Consulting. Typsa mandated Ruwatex to pursue and collect on their behalf Sh1.1 billion with interest from the Ministry of Finance.
The agreement entitled Ruwatex to a commission after payment by CS had been effected.
Ruwatex indicates that it managed to secure a commitment from the government with regard to payment due and owing to Typsa.
“We performed our end of the bargain despite being furnished with a disbursement of only Sh1.5 million and incurring costs of almost Sh12.5 million on our part, to facilitate the success of the performance of the agreement.”
But without due course, Typsa unilaterally terminated the agreement on September 24 this year but reinstated the same in a new agreement dated September 30 after Ruwatex protested.
More to follow
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