Cash Plus to pay company more than $5m
Cash Plus Development Ltd, which is now in liquidation, is to pay more than $5 million owing to a company for unpaid interest arising from the delay in completing the sale of two properties.
On Friday, the Court of Appeal ordered Cash Plus to pay the amount to Ken's Sales and Marketing Limited.
The payment stemmed from the sale of two properties.
In 2006 Ken's Sales agreed to sell two properties along Slipe Road, St Andrew to Cash Plus for $105 million.
The payment of the sale price required Cash Plus to obtain mortgages which were eventually settled after some delay.
Interest amounting to $5.9 million was outstanding as well as $3 million as money owing for the realtor's commission.
Ken's Sales filed a caveat against the property and subsequently sued to recover the outstanding sum.
The Supreme Court dismissed Ken's Sales claim and Justice Roy Anderson ruled in July 2009 that it was not an interest that could be so protected.
The judge ordered that the caveat lodged against the title must be discharged.
Ken's Sales later appealed the Supreme Court ruling.
Court of Appeal Judge Dennis Morrison, with the consent of the parties, made an order authorising the sale of the properties but ordered that $15 million from the sale must be reserved pending the outcome of the appeal.
The Court of Appeal ruled Friday that the sums owing to Ken's Sales for interest and the money representing the commission under the contract were capable of supporting a claim for a lien on the title.
The court allowed the appeal and ordered that the outstanding sums for interest and the realtor's commission must be paid based on the provisions made by Justice Morrison in August 2009.
Legal costs were awarded to Ken's Sales which was represented by attorneys-at-law Roderick Gordon and Kereene Smith.