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Company sues another for alleged false use of name
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Posted on Aug 15 2005
A local company has sued another for allegedly falsely using its name as consignee of a cargo from China.
This has allegedly resulted in Kevin’s Corp. being run after by another company, CTSI, and the Customs Division for unpaid freight charges and taxes, respectively.
Kevin’s Corp. recently filed with the Superior Court a civil action against American R.F. Corp., company officer Tong Ai Ping and representative Ren Chao.
Kevin’s attorney, Stephen C. Woodruff, said the defendants caused two shipping containers to be shipped from a company in China to Saipan in May 2005.
“The goods were invoiced to Kevin’s Corporation, although the purchase price was apparently paid by American R.F. Corporation,” Woodruff stated in a complaint. He said the use of Kevin’s name as consignee was without the company’s prior knowledge or approval.
Woodruff said Tong contacted Kevin’s manager, Yong Wen Zhang, upon arrival of the goods on Saipan and requested help in obtaining release of the cargo, which was heeded.
“The only consideration asked or expected by [Kevin] in return for this assistance, other than business goodwill, was that defendants pay all port charges, shipping, transportation, taxes…associated with the cargo,” Woodruff said.
While no problem occurred in Kevin’s releasing of one of the containers, Woodruff said the defendants failed in its commitments regarding the other container. The defendant company’s $2,500-check paid for freight charges bounced due to insufficient funds.
Woodruff added that the defendants have not paid the tax due the Customs Division.
The attorney accused the defendants of breaching their agreement with Kevin, and seeks a court order assessing at least $5,237.76 against them, besides other costs related to bringing the suit to court.
Woodruff also seeks an award of $100,000 as punitive damages in favor of his client, saying that the false use of Kevin’s name as consignee has resulted in the company’s liability and damaged reputation.
