Court denies Forson Holdings’ request to set aside entry of default

CHIEF Judge Ramona V. Manglona of the District Court for the NMI has denied the motion of Forson Holdings (CNMI) LLC to set aside the entry of default in the lawsuit filed by Unicorn Corporation.

In July 2020, Unicorn Corp. sued Forson for not paying rent. Forson is believed to be Imperial Pacific International LLC’s sister company.

At a hearing on Aug. 24, 2021, the judge said she had addressed the factors to consider to set aside default, and found that the first two factors (culpable conduct and meritorious defense) weighed against Forson Holdings.

As to the plaintiff’s motion for a default judgment, Judge Manglona has taken the matter under advisement.

Forson Holdings was represented by attorney Joey San Nicolas while attorney Charity Hodson appeared for Unicorn Corp.

At the hearing on Aug. 24, Judge Manglona directed attorney Hodson to prepare and submit a proposed order that will set a 30-day deadline for the defendant’s removal of property from Unicorn Corp.’s premises.

But the judge withheld her decision as to rent and damages pending review of the supplemental response from the defendant.

Unicorn Corp. sued Forson Holdings for non-payment of lease. After Forson Holdings failed to respond to the complaint, the plaintiff requested the court for an entry of default which the judge granted on May 20, 2021.

Unicorn Corp. wants the court to evict Forson Holdings and all its construction materials and persons from the plaintiff’s real estate property.

Unicorn Corp. also requested the court to award it $675,000 in unpaid rent

In addition, Unicorn Corp. wants the court to issue an award of double rent for the period of time that Forson Holdings had stayed on the plaintiff’s property without paying rent beginning on Oct. 5, 2018.

Moreover, Unicorn Corp. has requested for an award of general damages in the amount of $783,923 for the cost of repairing the property including pre-judgement interest, and post-judgement interest at 9% per year.

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