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Malawian Airlines sues local company for $75 000

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Malawian Airlines Limited has approached the High Court of Zimbabwe seeking an order compelling CFX Airlines (Pvt) Ltd to pay over $75 000 after the latter allegedly sold tickets but failed to remit the proceeds.

Malawian Airlines Limited has approached the High Court of Zimbabwe seeking an order compelling CFX Airlines (Pvt) Ltd to pay over $75 000 after the latter allegedly sold tickets but failed to remit the proceeds.

BY CHARLES LAITON

According to summons issued by Malawian Airlines in July this year under case number HC7676/16, CFX Airlines was reluctant to pay the claimed amount, despite having sold the air tickets and received cash on behalf of the Malawian carrier.

In its declaration attached to the summons, Malawian Airlines said sometime in January 2014, it entered into a passenger general sales and service agent agreement with CFX Airlines.

The terms and conditions of the agreement, according to Malawian Airlines, were that CFX Airlines would sell air tickets on its behalf and remit the collected amounts within a specified period.

Malawian Airlines further said, through written instructions, it directed CFX Airlines to pay airport fees to the handling company, WHS, on its behalf.

As at January 22 this year, Malawian Airlines claims CFX Airlines owed $98 310,70 in unpaid remittances — ticket sales and unpaid airport fees.

“As of June 30, 2016, the defendant (CFX) had reduced the aforesaid amount to $75 030,49. Whilst the defendant admits liability, it has, in spite of demand, failed, refused or neglected to pay the aforesaid amount,” Malawian Airlines said.

However, CFX Airlines has since entered an appearance to defend notice.