JAMES Whang, doing business as South Pacific Lumber Company, has sued Imperial Pacific International LLC for non-payment of lease and is demanding a jury trial in federal court.
Through attorney Colin Thompson, Whang is alleging breach of contract, holdover tenancy, and unjust enrichment.
He wants the District Court for the NMI to issue an order removing IPI from the property and granting the plaintiff immediate repossession of the premises.
The complaint also asked the court for an order for a sum certain of $391,703.13 — $276,080 for rent owed, $110,432 for late fees, and $5,191.13 for utilities.
In addition, according to the complaint, the court should award the plaintiff general compensatory and consequential damages in amounts to be shown in accordance with proof at the time of trial.
The plaintiff is likewise seeking an injunctive relief to preserve assets currently held in the warehouses to ensure payment of the judgment entered in this case.
Lastly, the lawsuit is asking for an order for attorney’s fees and costs and litigation fees and costs pursuant to the lease and all related fees and costs as otherwise may be provided by contract or by law.
IPI was the tenant of commercial warehouse space identified as Building B and Building C on Lot No. 057 E 29, Lower Base, the lawsuit stated, and the plaintiff was and is the owner of the leasehold interest of Lot No. 057 E 29.
On May 8, 2015, IPI leased the premises from the plaintiff by execution of a lease agreement.
The initial term of the lease was for a one-year period commencing on May 11, 2015, and ending on May 11, 2016, with a right to extend the term of the lease for up to five years.
Pursuant to Section 3(a) of the lease, the defendant agreed to pay the plaintiff rent on or before the fifth day of each month during the term of the lease.
Pursuant to Section 3(b) of the lease, the defendant agreed to pay the plaintiff a 5% penalty assessed on the sixth day of each month for all cumulative amounts past due.
Pursuant to Section 8(a) of the lease, IPI agreed to pay for the utility costs and trash removal fees for the premises.
On April 26, 2016, the defendant and the plaintiff signed an amendment to the lease increasing the term of the lease to May 10, 2021, and increasing the leased space to include the entire premises and reducing the rental price per square foot resulting in the monthly rental amount of $ 16,240.
According to the lawsuit, “defendant has not paid any rent to plaintiff pursuant to the lease for the months of March, April, May, June, July, August, September, October, November, and December of 2020.”
Moreover, IPI “has not paid any rent to plaintiff pursuant to the lease for the months of January, February, March, April, May, June, and July of 2021,” the lawsuit added.
“These unpaid rental amounts come to $276,080.00 which is owed to Mr. Whang,” his lawsuit stated.
“Defendant owes Plaintiff additional late fees amounting to $110,432.00. 27.”
In addition, IPI “has outstanding utility reimbursement payments for the premises amounting to $5,191.13 owed to Mr. Whang,” the lawsuit added.
On Oct. 28, 2020, “plaintiff served defendant with a ‘Final Notice,’ notifying IPI of its default of the Lease for failure to pay rent and demanding that the unpaid rent be paid to the plaintiff.”
Defendant has not responded to this notice, the lawsuit stated.
“On July 12, 2021, plaintiff served defendant with invoices for the amounts outstanding under the Lease for past due rental, late fees, and utility payments.
“On July 28,2021, plaintiff served defendant with a ‘3-Day Notice to Pay Rent or Quit,’ notifying IPI of its continued failure to pay rent, outstanding amount due under the Lease, defendant’s failure to vacate the premises, and gave defendant until August 2, 2021, to vacate the premises.”
Defendant has not responded to this notice, the lawsuit stated.
At the time of this filing, IPI “owes Plaintiff no less than $391,703.13 for past due rent, late fees, and utility payments pursuant to the provisions of the Lease. At the time of this filing IPI has not vacated the premises,” the lawsuit added.
