Federal court to hear USA Fanter suit vs IPI

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The U.S. District Court for the NMI will hear the lawsuit that USA Fanter Corp. had filed against Imperial Pacific International (CNMI) LLC and its application for a mechanic’s lien this week.

District Court for the NMI Chief Judge Ramona Manglona will hear on Feb. 12 two matters: USA Fanter’s lawsuit for breach of contract and unjust enrichment against IPI, and its application for a mechanic’s lien to determine whether there is probable cause for one.

According to Saipan Tribune archives, USA Fanter sued IPI last Jan. 30 for allegedly refusing to pay $2,089,345 over landscaping improvements to IPI’s hotel-casino project in Garapan.

USA Fanter wants IPI held liable to pay $2.08 million in contract damages, and is also seeking payment for interest and attorney’s fees.

It also asked the court to attach a mechanic’s lien to IPI’s interests in the real property on the project. A mechanic’s lien refers to a security interest in the title to property for the benefit of those who have supplied labor or materials that improve the property.

In the complaint that USA Fanter filed back in Jan. 30, the contractor terminated its contract with IPI on Jan. 28 and repeatedly demanded that IPI pay all amounts due and owing for work performed, but IPI failed to pay.

The complaint also stated that last Dec. 29, USA Fanter demanded to go into mediation with IPI on its claims, but IPI refused.

USA Fanter and IPI executed the contract for the project on June 18, 2019.

Also applying for a mechanic’s lien against IPI is Pacific Rim Land Development LLC.

The federal court heard both party’s arguments last week but Manglona opted to submit two certified questions to the CNMI Supreme Court this week.

Kimberly Bautista | Reporter
Kimberly Albiso Bautista has covered a wide range of news beats, including the community, housing, crime, and more. She now covers sports for the Saipan Tribune. Contact her at kimberly_bautista@saipantribune.com.

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