UNICORN Corporation’s estimated damages are inaccurate, according to attorney Joey San Nicolas who represents Forson Holdings (CNMI) LLC.
A commercial space rental-company, Unicorn Corp. has sued Forson Holdings for non-payment of lease.
In a recently filed supplemental response to the plaintiff’s proposed damages for restorative scope of work, San Nicolas said Unicorn Corp.’s estimated scope of work damages amounted to $738,923.
But he said based on his client’s own inspection and measurements, the amount is inaccurate.
San Nicolas said his client’s inspection, measurements, and cost-estimate calculation indicated that the total estimated scope of work damages should reflect an adjusted amount of $256,097.
The lawyer asked the federal court to disregard Unicorn Corp’s estimated scope of work damages, and to adopt Forson Holding’s adjusted estimated restorative costs of $256,097.
Chief Judge Ramona V. Manglona of the District Court for the NMI recently granted the request of Forson Holdings to submit a supplemental response to evaluate the scope of work portion for damages.
According to San Nicolas, on Aug. 26, 2021, Imperial Pacific International LLC assistant vice president Eric Poon visited the Tanapag property along with members of his construction team to verify the plaintiff’s scope of work and to make an independent assessment on behalf of Forson Holdings.
“The team members were Jesse Aquiningoc, Kelvin Ng, Joji Montenejo and Kafun Ho. The team was accompanied by plaintiff representative Ms. Gab Du Chong. In making the per square foot assessments and cost of the vinyl tiles in the main building, Poon relied on plaintiff’s scope of work. With respect to responding costs of lighting fixtures, the construction team contacted and received quotes from Hong Electric Hardware Store in Chalan Laulau. Regarding responding labor costs, defendant assumed that labor costs were either $7.25 per hour for non-skilled labor and $10 per hour for skilled labor,” San Nicolas said.
Unicorn Corp., through attorney Charity Hodson, sued Forson Holdings for lease non-payment and asked the court to issue an order evicting the defendant from the plaintiff’s property.
According to the original lawsuit, Forson Holdings is believed to be Imperial Pacific International LLC’s sister company.
Unicorn sued Forson Holdings for breach of contract in July 2020. Cai Lingli, a former IPI board member, is the authorized representative of Forson Holdings, the lawsuit stated.
Unicorn Corp. is requesting the court to award it $675,000 for due rental.
Unicorn Corp. also wants the court to issue an award of double rent for the periods of time that Forson Holdings had stayed on the property without paying rent beginning on Oct. 5, 2018.
In addition, Unicorn Corp. 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.
The plaintiff earlier requested the court for an entry of default after Forson Holdings failed to respond to the filed complaint.
On May 20, 2021, the federal court issued an entry of default against Forson Holdings.
Forson Holdings, for its part, asked the court to set aside the entry of default but this was denied by Judge Manglona at a hearing on Aug. 24, 2021.
The judge found that the first two factors (culpable conduct and meritorious defense) weighed against Forson Holdings denying its request.
As for the plaintiff’s motion for a default judgment, Judge Manglona has taken the matter under advisement.
