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    Tuesday, July 17, 2018-7:33:08A.M.

     

     

     

     

     

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Businessman files lawsuit over failed apartment-rental venture

A BUSINESSMAN has filed a lawsuit in Superior Court against another businessman from China for failing to pay back the money loaned for an apartment-rental venture on Saipan.

Weidong Guo is suing Red Coral Corp. and its president Bo Ren for breach of contract, unjust enrichment, quantum meruit, conversion and promissory estoppels.

The plaintiff, through his legal counsel Robert T. Torres, asked the court for an order for actual compensatory, consequential and incidental damages according to proof at trial.

The plaintiff also wants the court to issue a declaratory judgment to the effect that a valid contract exists between the parties, and to establish a lien on the proceeds of the rental income derived from the apartment complex and on personally owned vehicles by the defendant.

Guo asked for a court judgment in the amount of $167,785.94.  He also asked for pre-judgment and post-judgment interest, punitive damages in the maximum allowed by law, attorney’s fees and costs, and other relief.

According to the lawsuit, the two, Guo and Ren, became acquainted sometime in 2014 and decided to engage in a business venture.

Torres said Ren asked the plaintiff to lend him money so he could start leasing and buying  rental property on Saipan. The plaintiff agreed and helped Ren  form Red Coral Corp. on June 4, 2014.

Torres said the plaintiff  paid the necessary expenses associated with acquiring a long-term property lease and for the construction, labor, materials and supplies needed for building an apartment complex.

On Aug. 27, 2014, the plaintiff assisted Ren in acquiring a five-year lease on V&C Enterprises’ apartment complex Camille Gardenia in Marpi, the lawsuit stated.

It added that the plaintiff helped finance the lease by advancing the initial rental payment in the amount of $6,000, and the first month’s rent of $6,000.

Torres said Guo spent a significant amount of money on the construction and renovation of the apartment complex, including paying for labor, materials and supplies, equipment rentals, among other things.

Torres said the plaintiff also paid for Ren’s personal living accommodations, including rent for his apartment in the amount of $1,300.

The lawsuit stated that the plaintiff expended $224,979.77 for the apartment complex and Ren’s personal accommodations and expenses.

Torres said during the ongoing construction, the plaintiff made numerous demands for repayment of money spent on construction and personal accommodations.

He said the  defendant made just two  payments for reimbursement via wire transfers in the amount of $57, 193.83.

Torres said Ren has  ignored  demands and refuses to make additional reimbursements despite promises that he would do so.

 The defendant was a lawful tourist when he entered into the business venture in 2014, but is no longer present in the CNMI, the complaint stated.