Favorable settlement of claims related to installation of photovoltaic systems

Experience / 22.05.2024

The law firm’s attorneys represented a client operating in the photovoltaic industry in litigation over claims related to defects and improper performance of photovoltaic installation assemblies, bringing the case to an amicable conclusion on favorable terms for the client.

Within the framework of cooperation with its contractor in 2019-2021, the Client carried out assemblies of photovoltaic installations on behalf of the contractor’s customers. The works carried out by the Client were collected and settled in the relationship with the counterparty, nevertheless, after a long period following the termination of cooperation, the Client’s counterparty began to file a number of claims against the Client, which were to result from the defectiveness of the assemblies carried out by the Client and the lack of removal of the defects existing in the opinion of the counterparty. The counterparty directed numerous debit notes and calls for payment to the Client.

The contractor finally decided to take the matter to court, filing two lawsuits against the Client. The basis of the Client’s liability was alternatively seen by the counterparty in the regime of warranty liability, statutory warranty liability for defects, and indemnity liability.

The Client decided to entrust the Law Firm’s attorneys with representation in both cases.

In cooperation with the Client’s substantive services, the Law Firm’s attorneys performed a detailed analysis of all documentation, including correspondence between the parties, both during and after the cooperation, including, among other things, documentation and correspondence relating to acceptances and reporting of defects by the Client’s contractor.

Subsequently, the legal advisors performed a legal analysis with regard to all the grounds for the Client’s liability raised by the contractor. In this regard, they argued, among other things, that under the contractual relationship between the parties, the Client did not assume warranty liability. With regard to liability under statutory warranty, the Law Firm’s lawyers, based on a detailed analysis of the facts, in addition to arguing that the position regarding the existence of defects was unjustified, also presented extensive argumentation related also to the failure of the contractor, which is an entrepreneur, to comply with the requirements related to deadlines and the manner of reporting defects, and thus the loss of rights to assert claims based on this regime of liability.

In view of the long-lasting litigation, involving the need for expert evidence, the parties decided to engage in settlement talks.

In the course of the settlement talks, the Law Firm’s attorneys made sure that the settlement covered not only the claims that were the subject of the pending litigation between the parties, but also that the settlement definitively and comprehensively regulated all possible claims of the counterparty against the Client.

Thanks to our experience and involvement in the case and the settlement talks conducted, the Client not only ended the litigation, but also gained security and confidence that in the future the counterparty will not make any further claims against it related to the performed photovoltaic installations.