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By
Bernadette H. Carreon
Horizon news staff
The Supreme Court
appellate division remanded and affirmed some part of the case involving
a dispute regarding the proper interpretation of a real estate lease and
an agreement to pay commission.
In a 16-page opinion of Civil Action No. 98-76 the Estate of Rechucher
claimed that the trial court misinterpreted and misapplied the commission
agreement in two points.
Appellee Alan Seid claimed that the court erred when it denied his claim
for reimbursement of overpaid rent , breach of contract and attorneys
fees.
The appellate division ruled that one aspect of the trial courts
decision regarding the commission agreement is reversed while the decision
is affirmed in all other aspects.
Court documents showed that on Nov. 24, 1993, Rechucher , Ngerketiit Lineage
and Ngerukebid clan agreed to lease Seid approximately 106, 509 square
meters of land at a rate of $30 per square meter.
The court records showed that since Seid intends to assign his interest
in the lease to a third party developer, the clan agreed to initiate a
quiet title action to ensure that Seid and or his assignee would be able
to develop the property.
That the same day, the four parties entered into an agreement where Rechucher,
Ngerketiit Lineage and Ngerukebid Clan agreed to pay Seid 10 percent of
the rental price in consideration for his role in arranging the sublease
of the property to a third party.
The trial court on Dec. 28, 2004 denied Seids clams for overpaid
rent of $33,333, the amount paid to Ulechongs of $50,000 and attorneys
fees of $10,000.
The trial court instead granted Seids claim based on the commission
agreement.
The appellate division affirmed the trial courts denial of Seids
claim for overpaid rent , breach of contract damages and attorneys
fees , as well as the denial of Rechuchers claim regarding the commission
on excess land are affirmed.
The opinion said that because the parties intended that each lessor would
pay a 10 percent commission on rents paid to them under the lease, the
trial courts award of %149,085.25 to Seid is reversed and the matter
is remanded to the trial court for entry of judgment on the commission
claim in the amount of $26,988.35 with interest accruing from Oct. 9,
1998 at 9 percent simple interest per annum.
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