Court asked to stay $4.1M award to businessman

The Office of the Attorney General has asked the Superior Court to stay its order finding the CNMI government liable to businessman Joaquin M. Manglona until it has reviewed the OAG’s opposition.
Assistant attorney general James T. Mitchell, representing the government, also asked the court to allow the government until July 15, 2011 to respond with its opposition.

Mitchell said that Manglona will not be prejudiced by a reasonable delay to allow the government to respond.

“While there is no guarantee as to what the outcome will be after the court considers the government’s response, the court’s decision on the merits could not be construed to be prejudicial. Nor could a reasonable delay caused by the government’s filing a response to his motion be deemed prejudicial,” he said.

Last month, associate judge David A. Wiseman ruled that the government is liable to pay Manglona $4.1 million for breaching a building lease in 1997. This amended his prior order that awarded Manglona $2,814,438.56. Wiseman added $1,316,481.22 in post-judgment interest as of Nov. 10, 2010. The total award is $4,130,919.78.

The judge made the arrangement after Manglona filed a motion, asking the court to reconsider its denial of post-judgment interest.

Wiseman heard the motion on June 9, 2011. Attorney Douglas F. Cushnie appeared for Manglona, but the government did not file any response to the motion nor appeared at the hearing.

In the government’s motion to stay/vacate Wiseman’s amended order, Mitchell said the government is not asking for a lengthy delay.

Given the 14-year history of the case, Mitchell said the additional amount of time the government is asking for will have a negligible impact on the case.

The government lawyer said the reason for the request is that he was not served with Manglona’s motion or with the notice of hearing. Mitchell said it was discovered that LexisNexus had an incorrect e-mail address for counsel and the legal secretary was linked to his account.

For that reason, Mitchell said, neither of them received service of the motion or notice of hearing.

He said it is still unclear why Attorney General Edward T. Buckingham did not receive such service.

As to the other factor, Mitchell said there is nothing to suggest that the lack of service to counsel was a result of bad faith. “The government simply wants a fair hearing on the merits,” he said.

Mitchell said the court has only heard from Manglona on his motion to amend.

“The court needs to hear the government’s side of the issue in order to make a fully informed decision,” he added.