THE National Social Security Authority (NSSA) has approached the High Court seeking eviction of the Premier Service Medical Investment (PSMI) from its property in Bindura after the latter accumulated $50 910 in unpaid rentals.
BY CHARLES LAITON
NSSA filed summons against PSMI early this month after cancelling the lease agreement which the parties had entered into on March 1, 2013.
According to the court papers, PSMI entered an agreement to use NSSA commercial centre stand number 1837 Atherstone Road in Bindura on terms and conditions.
“The lease agreement was due to expire on February 29, 2016, but by virtue of an automatic renewal clause, it was running until its cancellation. It was initially for three years, starting from March 1, 2013. Rent payable per month was $400,40 excluding value added tax (VAT),” NSSA said.
“The defendant (PSMI) was also obliged to contribute towards operating costs for the building, payable on a pro-rate basis. In breach of the lease agreement, the defendant did not pay full rentals and operating costs as agreed and as at May 1, 2017, it was in total arrears of
$50 910,04 with $47 871,28 representing rent and $3 038,76 representing operating costs.”
NSSA further said after realising PSMI had remained in breach of the contractual agreement, it cancelled the lease agreement, which cancellation was effective from June 6 this year, and also demanded that PSMI vacates the premises.
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“From June 2017, the defendant was in illegal occupation of the premises and continues to be in illegal occupation, causing the owner to suffer holding over damages in the sum of $400,40 per month from May 1, 2017, being an amount representing the rent value and any amount assed during the same period as operating costs,” PSMI said.
“Despite demand, the defendant was refusing and/or neglecting to vacate the premises and to pay arrear rentals and holding over damages. Wherefore, plaintiff’s claim is for confirmation of cancellation of the lease agreement entered between the parties.”
PSMI is yet to respond to the summons.
