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Landlord sues ex-tenant over unpaid rent
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Posted on Dec 11 2004
A company engaged in leasing out commercial property in Garapan has filed a lawsuit against its former tenant over alleged nonpayment of rent.
In a complaint filed with the Superior Court, Merci Corp. asked the court to compel EUN Corp. to pay it unpaid rent amounting to $7,196, as well as costs incidental to the filing of the suit.
Merci’s attorney, John D. Osborn, said the defendant company failed to pay monthly rent from February to May earlier this year, before vacating the leased commercial space sometime last June.
The complaint said that the parties entered into a lease agreement on March 1, 2003 for EUN’s lease of a commercial space at the ground floor of the May Ten building in Garapan. The agreement provided a lease term from March 1, 2003 to Feb. 28, 2004, it said.
“The term of lease also provided that any holding over by the lessee beyond the term of the lease shall be considered a tenancy-at-will that can be terminated by either party on 30 days written notice,” Osborn added.
The agreement bound EUN to pay Merci monthly rent of $2,300 every first day of the month, according to the complaint. It provided for a 10-percent penalty of the monthly if payment was not made within 10 days from the due date.
Osborn said the companies agreed on a reduction of the monthly rent to $1,840 effective Feb. 1, 2004. On June 19, 2004, EUN vacated the leased premises without settling unpaid rent from February to May, he added.
Osborn said the defendant owes Merci some $8,096, inclusive of penalties. The amount went down to $7,196, after EUN paid Merci the amounts of $600 and $300 on Aug. 11 and Nov. 11, respectively. (John Ravelo)
