Trinet is under pressure from the RTA to pay and so is leaning on Nahkeel.
From the article, Trinet appears to be ready to compromise.
Wednesday, 26 May 2010
Second Dubai Tribunal Case: Trinet v Nakheel
Trinet is under pressure from the RTA to pay and so is leaning on Nahkeel.
From the article, Trinet appears to be ready to compromise.
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2 comments:
While much of the attention in the case of Dubai World, nakheel et al has been on the debts to financial investors (bonds) and banks, sorting out the commercial debts is much more central to getting Dubai moving again. While I (and probably everyone else) lacks real numbers, there must be a vast amount of daisy-chain debt out there. Thus GRE company fails to pay contractor who fails to pay suppliers who then fail to pay their own providers of services such as transport and then these companies delay wages - meaning that people cannot service mortgaes and personal loans. And son and so forth.
If only there was some sort of mechanism whereby all such debts and obligations could be registered centrally with some sort of clearing house - with sclaims then netted off - the amount of actual cash needed to sort things out might be significantly reduced.
Dubai might also usefully think about using something like the old Saudi government scheme to settle commercial arrears through the issue of P/Ns, especially if the central bank allowed banks to use these for statutory reserve requirements (thereby creating a steady source of demand).
Or the linear programming model used for the Suq Al Manakh difficult debts settlement program.
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