Event Force Majeure/ Rental Guarentee

I was communicating with Mr. Suresh (Of course one way communication from my end but replied by customer center) on the following subject matter:

1. Event Force Majeure:
According to Stargiga, the reason for the delay in the project is because of " Delay in supply of utilities" and they justify this as a "Event Force Majeure".
But in the definition "interruption or failure of utility service including but not limited to electric power, gas, water or telephone service". This means, there should be an existing Utilities to interrupt or failure.
Where as in this case there was no existing utility system. The service needs to be provided.
And further more, as per StarGiga "They are thinking of providing Generator" as a substitute to the Utility failure. That means- they have a solution against Utility failure. where as " Event Force Majeure" should not have any solution!!!.
Is my way of thinking is correct?

2. Rental Guarantee:

As per the reply from StarGiga, rental guarantee co relate with construction. But

As per the agreement it doesn't say anything about construction. It just specify the date from which rental guarantee begins. How can they relate rental guarantee to the construction? where our existing payment plan itself is on date base rather than construction oriented.

Regards
Prasanna

Josau's picture

Your thoughts are correct

Your thoughts are correct and logic, but in the UAE you cannot go by correct thoughts and certainly not by logic. It is a third world country playing first world. When we got into this we had to take this into consideration. I certainly did. We have NO choice, but to go by their rules. It is as simple as that.

I 2 Ajman's picture

Fully Agree!

Fully agree with Josau there!

Its now more like a salvage situation for us. All we can still hope for is that how we can get the best possible result out of the current situation. Most of the investors have reconciled to delays, it remains to be seen as to when the construction will resume and when the units will finally be delivered.