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Judge amends ruling again in ‘97 building lease dispute
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Posted on Sep 26 2011
Superior Court associate judge David A. Wiseman has amended again his order that found the CNMI government liable to pay businessman Joaquin M. Manglona for breaching a building lease in 1997.
In his order issued Thursday last week, Wiseman granted Manglona’s motion to amend the court’s findings and ruled that the legal rate of 9 percent per annum in post-judgment interest will accrue in favor of Manglona.
The amendment to his prior order, Wiseman said, should reflect that the date of judgment used to calculate pre-judgment and post-judgment interests is April 12, 2004.
Wiseman said the original principal judgment amount is $1,826,838, and post-judgment interest will be awarded at a rate of 9 percent per year on the original principal amount beginning April 12, 2004.
Wiseman ordered Manglona to prepare a proposed judgment consistent with his order.
In his motion, Manglona, through counsel Douglas F. Cushnie, challenged Wiseman’s decision to deny post-judgment interest.
The businessman also argued that post-judgment interest should be awarded based on an exception to the general rule that interest cannot accrue on a judgment against the government.
In granting the motion, Wiseman said the exception allows for interest to accrue against the government if stipulated by contract. The CNMI Supreme Court had found that the lease between the parties so stipulated.
Wiseman said the Supreme Court had determined in its review of the case that there was a valid lease between the parties stating, “here, interest was stipulated for by the lease…”
Wiseman said the Supreme Court has thus determined that the lease is valid and provides for interest at the legal rate.
In June 2011, Wiseman ruled that the government is liable to pay Manglona $4.1 million. This order amended his prior order that awarded the plaintiff $2,814,438.56. The judge added $1,316,481.22 in post-judgment interest as of Nov. 10, 2010.
