The U.S. District Court for the NMI has denied a contractor\u2019s request for a receivership against an apartment investor because it failed to serve the investor with the motion for a receivership. <\/p>\n
Last week, U.S. District Court for the NMI Chief Judge Ramona V. Manglona, denied without prejudice Peace & Order Trading Corp.\u2019s motion to appoint a receiver for apartment investor Fairyland Investment, LLC to help Peace & Order satisfy the $767,697.50 judgment.<\/p>\n
The court denied Peace & Order\u2019s motion without prejudice so that it could refile a new motion that properly follows the procedures of the court\u2019s local rule.<\/p>\n
Manglona pointed out that Peace & Order moved for an appointment of a receiver, but never served Fairyland with its motion as required by Local Rule 63.1. <\/p>\n
The court noted that, while the plaintiff cited Federal Rules of Civil Procedure to warrant a receivership, Peace & Order\u2019s request relied on state law for the appointment of a receiver. <\/p>\n
In line with federal rules, Manglona said, the district court has a local rule pertaining to receiverships, Local Rule 63.1. This rule requires the service of a motion to appoint a receiver to be served on all parties and compels the defendant to list the defendant\u2019s creditors and their addresses within seven days after being served.<\/p>\n
According to court documents, back on April 13, 2021, the court issued a default judgment against Fairyland in the principal amount of $767,697.50 plus attorney\u2019s fees and costs, including applicable federal interest rate for post-judgment interest.<\/p>\n
On July 24, Peace & Order, through lawyer Colin Thompson, asked the court for an order appointing a receiver to administer, collect, or sell any real or personal property in which Fairyland Investment, LLC has an interest, specifically two lots on Navy Hill.<\/p>\n
Thompson also asked for an order directing Fairyland to turn over to the receiver title to its assets in an amount sufficient to satisfy the judgment.<\/p>\n
Peace & Order sued Fairyland Investment, LLC, for breach of construction contract and unjust enrichment.
\nPeace & Order was a contractor hired by Fairyland to remodel and build an apartment building on Navy Hill, Saipan. The lawsuit stated that Peace & Order stopped work on the project because Fairyland refused to pay the amount owed for work completed.<\/p>\n","protected":false},"excerpt":{"rendered":"
The U.S. District Court for the NMI has denied a contractor\u2019s request for a receivership…<\/p>\n","protected":false},"author":24,"featured_media":336737,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-352940","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-local-news"],"_links":{"self":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/352940","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/comments?post=352940"}],"version-history":[{"count":0,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/352940\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/media\/336737"}],"wp:attachment":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/media?parent=352940"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/categories?post=352940"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/tags?post=352940"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}