Airline must pay fuel surcharge
PARAMARIBO — The subdistrict court ordered GOw2 Energy Suriname on Friday convicted to resume fuel deliveries to the airline KLM within one day until the dispute between the parties is finally decided in an arbitration procedure. If GOw2 does not follow up on this, it must pay a penalty of SRD 100,000 up to a maximum of SRD 3,000,000.
However, Judge Suzanna Chu also ruled that KLM must pay the amount of fuel delivered plus the concession fee of 0.30 US dollars per gallon to GOw2 for each fuel delivery. The airline refused for some time to pay the surcharge that must be transferred to Airport Management, with the result that GOw2 stopped fuel deliveries until KLM had paid the outstanding bill. The fuel supplier who paid the surcharge to the airport company refused to advance it any longer.
In a statement, the Court of Justice explains that the case revolves around a dispute between KLM and GOw2 in which GOw2 had stopped the supply of fuel to KLM aircraft visiting Johan Adolf Pengel airport. This happened after KLM no longer wanted to pay the difference in the increased concession fee. Both parties have previously concluded an Aviation Fuel Supply Agreement (AFSA) for the supply of fuel.
KLM demanded that GOw2 communicate in writing within two days of the ruling the regulations on which the concession fee, and the increase thereof, is based, on penalty of a penalty. She also demanded that this compensation be suspended. It was also demanded that GOw2 be prohibited from stopping fuel supplies to KLM on pain of a penalty.
According to KLM, the cessation of fuel supplies creates great uncertainty and is contrary to the existing agreement between KLM and GOw2 as KLM does pay for the fuel supply and has only suspended payment of the increased concession fee.
According to GOw2, KLM had to go to the International Court of Arbitration of the International Chamber of Commerce (ICC) based on the contract. According to GOw2, KLM’s petition also does not comply with Article 111 of the new Code of Civil Procedure (NRv). On this basis, GOw2 requested the subdistrict court judge to reject the claim.
The subdistrict court judge made use of the authority granted to it by imposing the aforementioned disciplinary measure as it is not competent to adjudicate on the substance of the dispute between the parties.
