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    Saturday, August 18, 2018-8:46:34P.M.

     

     

     

     

     

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Real estate agent says she needs translator and attorney to respond to lawsuit

A REAL estate agent says she needs a translator and an attorney to respond to a lawsuit filed against her and a real estate company over two separate land transactions.

Yu Xue Mei, an agent of American CM Real Estate Development Co., and the company were sued by Shangrui Investment Development Co. Ltd. for breach of contract, fraud and unjust enrichment.

Superior Court Judge Wesley Bogdan has lifted the automatic stay of proceedings, adding that the parties may engage in limited discovery.

He said the court will review and approve any discovery request by either party before the responding party is required to submit its response. He added that “no discovery request shall necessitate a response before it is approved by the court.”

Judge Bogdan placed under advisement the need for mandatory mediation and allowed Yu Xue Mei more time to retain an attorney and a translator.

The real estate company and its agent previously told the court that they had entered into several successful transactions, but due to its principal being deported their operations were disrupted.

Yu Xue Mei said when federal legislation was enacted preventing employers from obtaining CW-1 visas for construction workers, Shangrui’s CW-1 petitions for dozens of construction workers were denied.

Shangrui, which became concerned about the value of real property on Saipan and its ability to develop real property, decided to exit the island market, Yu Xue Mei said.

She added that Shangrui  began selling its property holdings and tried to get out of deals it had agreed to.

Yu Xue Mei denied that she received money from Shangrui, adding that she did not misrepresent anything to the plaintiff.

Yu said most of the $660,000 and $100,000 initial payments made by Shangrui to American CM was used for operating expenses.

She said American CM expected to acquire necessary operating funds for closing a Tanapag property in Nov. 2017.

But in Sept. 2017, U.S. Immigration and Customs Enforcement arrested American CM’s principal, Bo Zhong, a Canadian national, for overstaying his visa, she said, adding that this disrupted the operations of American CM.

The two disputed properties listed in Shangrui’s lawsuit against American CM are a Capital Hill property described as Lot No. 026 E 01, listing Paul Manglona as fee-simple owner; and Tanapag property described as Lot No. 014 B 43 owned by Villalora Condotel residence LLC.

The Capital Hill property is also the subject of pending litigation between Manglona and his siblings.

Shangrui Investment is represented by attorney Tiberius Mocanu.

 According to Shangrui’s lawsuit, American CM is in the business of buying and selling property in the CNMI. American CM offers to purchase a given property directly from the seller, fix the problems, and then sell it again to the buyer for a fee.

American CM, through Yu Xue Mei, entered into an assignment of ground lease with Shang Rui Development for the purchase of a Capital Hill property owned by Paul Manglona for $522, 625.

Mocanu said on April 28, 2017, Shangrui paid American CM $100,000 as a deposit for the purchase of the Capital Hill property which American CM represented to Shangrui that it had good title to. In fact, the lawsuit stated, American CM did not have title to the property.

On May 31, 2017 American CM entered into an agreement with Shangrui to lease a property located in Tanapag for $1,690,000.

But Mocanu said American CM did not have any interest in the Tanapag property when it entered into the agreement with Shangrui.

Shangrui paid American CM a total of $660,000 as a deposit for the purchase of the Tanapag property which was scheduled to close on Nov, 27, 2017.

On that day, however, no closing occurred for the deal, and American CM failed to deliver a satisfactory and legally sufficient assignment of lease to Shangrui, the lawsuit stated.

Shangrui asked for the return of its $660,000 deposit, but American CM did not return the deposit.

Mocanu is asking the court to find that American CM breached its contract on both properties, and was unjustly enriched by retaining deposits totaling $760,000.