HomeLocal NewsZITF sues Zinara over contract breach

ZITF sues Zinara over contract breach


THE Zimbabwe International Trade Fair (ZITF) has taken the Zimbabwe National Road Administration (Zinara) to court for alleged breach of contract.


ZITF filed summons at the Bulawayo High Court on August 3, claiming Zinara had failed to pay $24 715 after the parties entered an agreement to jointly host the inaugural infrastructural development conference in July 2016.

“The plaintiff’s claim against the defendant is the payment of the sum of $24 715 in respect of an agreement between the parties to jointly organise and host the inaugural infrastructural development conference in or about July 2016 which amount despite demand, defendant has neglected, refused or abandoned to pay as more fully set out in the particulars of the claim,” the summons read in part.

ZITF also demanded payment of interest on the said sum at a prescribed rate calculated from March 13, 2018 to date of payment.

“In its declaration of the claim, ZITF submitted that on or about May 2016 it and the Zinara reached an agreement to jointly organise and host the inaugural infrastructural development conference under certain terms and conditions,” the declaration read.

“The parties would jointly organise and promote the infrastructure conference and expo within Zimbabwe and the region. The parties would source sponsorship from both private and public enterprises for purposes of obtaining resources to successfully host the conference from July 20 to 22, 2016.”

ZITF submitted that after jointly hosting the conference and reconciliation of the income and expenditure, the parties were supposed to equally share the profits or losses incurred in the event.

“Pursuant to the agreement, the parties organised, promoted and hosted the inaugural infrastructure conference and expo in July 2016. In that regard a sum of $26 000 was paid directly to the plaintiff as income before any reconciliation and payments were done. Another sum of $28 700 was also paid into defendant’s account before any reconciliation and payment were done as aforesaid,” the declaration read in part.

“Defendant requested plaintiff to deposit the amount paid to plaintiff into defendant’s account to fulfil inter alia defendant’s audit requirements but on the understanding that defendant would then pay all the suppliers for the said conference and subsequently share the net profit equally between the parties as agreed.”

ZITF submitted that based on the agreement and understanding, it paid $26 000 to Zinara, but in breach of the agreement, the latter failed to pay the suppliers and also failed to account for the funds and or remit plaintiff’s share of the profits despite demand.

“Ultimately, plaintiff had to pay the suppliers for the conference from its funds and sought reimbursement from defendant as well as its share of the profit.

“The amount paid by plaintiff to the suppliers was a sum of $13 611 and plaintiff’s share of the profit was a sum of $11 104, making a total of $24 715 due to plaintiff,” the declaration read.

Zinara is yet to respond to the summons.

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