Imperial Pacific International (IPI), which operates Imperial Pacific Palace, the only casino resort on the island of Saipan, has been ordered to pay US$5.6 million to a former contractor, Pacific Rim Land Development LLC, for breaching a promissory note.
The civil ruling was handed down last week by the District Court for the Northern Mariana Islands, a U.S. territory, Marianas Variety reported.
Pacific Rim had sued IPI for breach of contract after the operator refused to pay for services at the site of IPI’s Imperial Palace‧Saipan worth US$5.65 million, though the work was completed in September 2018.
IPI’s defense was based on its claim that Pacific Rim had overstated the cost of completing the works.
“Pacific Rim fraudulently obtained from IPI a promissory note, which is therefore unenforceable,” IPI said, adding that Pacific Rim had also failed to comply with a contractual obligation to enter into mediation over the matter before filing any lawsuits.
