Road Development Corporation Limited (RDC) has fully settled an outstanding debt of MVR 16.1 million owed to Ali Athif (Novexa Maldives) of Ha. Utheemu Nooranahiyaa for goods and services supplied to the corporation.
The lawsuit was initially filed by Ali Athif to recover MVR 16.1 million for goods and services provided to RDC up to April 16, 2024. In addition to the unpaid invoices, the plaintiff had sought an equitable compensation amount determined by the court under the Civil Procedure Act for delayed payment, alongside MVR 1.6 million to cover legal fees.
During the initial dispute, RDC admitted to the core debt and agreed to settle the amount through a mutually acceptable payment plan, promising monthly installments of no less than a designated amount.
However, since RDC did not propose a definitive timeframe for the payments, Ali Athif requested the court to mandate RDC to clear the admitted sum within 30 days of the verdict and to award the MVR 1.6 million as legal costs.
In response, RDC conceded that the MVR 16.1 million was owed but argued that the requested MVR 1.6 million legal fee was excessive, asking the court to determine a fair amount. RDC also requested lenient payment terms, citing the company's financial situation.
On September 26, 2024, the Civil Court ruled that RDC must pay Ali Athif the MVR 16.1 million debt along with MVR 15,000 as legal expenses. The court ordered RDC to clear the total amount through monthly installments paid to the Civil Court over a period of two months starting from the date of the judgment.
Despite the ruling, Ali Athif recently filed an enforcement case with the Civil Court, stating that RDC had failed to clear the dues in accordance with the court order even after nearly two years.
In its ruling on the enforcement case today, the Civil Court declared that since RDC has now cleared the full payment, the court considers the original judgment to be successfully executed.
Hussain Ali
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