A Welshpool-based towing company is suing fuel supplier Maisey Fuels for allegedly failing to pay a $1.3 million bill as part of a diesel spill clean-up expected to cost $15 million.
A Welshpool-based towing company is suing fuel supplier Maisey Fuels for allegedly failing to pay a $1.3 million bill as part of a diesel spill clean-up in the state's north expected to cost $15 million.
In a Supreme Court action lodged this week, Daynite Towing Service claims it signed a contract with the Geraldton-based fuel supplier back in 2018; part of which involved providing emergency assistance in the event of an oil spill.
Daynite alleged it attended a diesel fuel spill 140 kilometres south of Port Hedland on February 28, 2021, which closed Great Northern Highway in both directions for several hours.
The company claims it undertook $1.3 million worth of remediation works at the site of the spill, which it said it paid for out of its own pocket.
But despite requests for reimbursement, Daynite claims Maisey Fuels has failed to pay.
As a result, Daynite’s lawyer, Kennedys partner Jonathan Wyatt, told Business News his client discontinued the clean-up, the total cost of which is expected to reach $15 million.
In the writ, Daynite claims Maisey Fuels engaged in misleading or deceptive conduct by failing to pay for the services; constituting a breach of the contract and Australian Consumer Law.
Daynite is now seeking damages over the incident, as well as interest on the clean-up bill and legal costs.
A spokesperson from Maisey Fuels told Business News the company was unable to comment on the matter.
Daynite has also been contacted for comment.