THE High Court’s Commercial Division has advised leaders of Chama Cha Mapinduzi (CCM) in Kinondoni District to settle in amicable manner the dispute surrounding construction and rehabilitation of two commercial buildings at Minazini – Makumbusho CCM branch.
Judge Zahra Maruma gave the advice recently after determining a commercial dispute lodged by a CCM member, Mussa Msangi, the plaintiff, against Registered Trustees of CCM, Kinondoni CCM District Secretary and Mr Mwesigwa Mutabuzi, a lawyer of CCM in Kinondoni district, all defendants.
“To maintain the existing legal, business and social relationship, the parties are advised and encouraged to define clearly all the terms which have resulted into a dispute and settle all issues in a manner which will result into the peaceful end of their contractual obligations,” the judge advised.
In determining the matter, the judge had to consider whether there was the valid agreement between the plaintiff and the defendants towards the construction of the new commercial CCM Building and rehabilitation of the old commercial CCM building and what could be the legal consequences.
After revisiting the evidence tendered, the judge concluded that there was established contractual relationship between the plaintiff and the defendants and there were legal binding terms between them following the agreement to finance two construction projects belonging to the Minazini CCM branch.
She found that there was no doubt on the contractual relationship between the plaintiff and the defendants established following their ideas initiated an agreement signed 2003.
Furthermore, the judge noted, there was no dispute on the amount incurred as to the costs of construction as evidenced to be approved by the defendants.
In addition to that, she said that there was no dispute that the amount paid of 80,000/- as monthly rent is paid for more than twelve frames (12) .
However, the judge said, it was logical and prudent for the parties to reconcile and clarify the terms of payments amicably, looking at the terms of payments which have no clarity concerning time for contract performance specifically on the payment of construction costs and amount of monthly rent paid.
“This is saying so based on the relationship of the parties into this agreement who are all members of the Minazini CCM branch, the business relationship they have and their good intention to promote developments within their territory,” she said.
Judge Maruma added, “Every one of them (plaintiff and defendants) is entitled to be proud of the development made on the two construction projects in which today each party is enjoying the success and fruits of the efforts made.”
Way back in September 2003 by virtue of his membership, the plaintiff was approached by Registered Trustees of CCM through Kinondoni District Secretary to finance the construction of a commercial CCM building and rehabilitation of the old building at Minanzini – Makumbusho CCM Branch.
The demand arose from a plan to initiate business projects to run daily activities and to meet other financial obligations of Minanzini – Makumbusho branch in Kinondoni District.
Being a member of the CCM in Mianzini branch and convinced with the request to rescue financial crises to inject the projects, the plaintiff entered into an agreement with the defendants to provide financial support for the two construction and rehabilitation projects. The parties in executing the projects reduced the agreement in writing where terms and conditions were laid down.
However, the contractual relationship started to become bitter from July 24, 2009 after the change of leadership regime in Kinondoni district.
That was when the Kinondoni CCM District Secretary wrote a letter to the plaintiff and informed him that all previous agreements signed were void as were not signed by the registered trustees of CCM.
It was on that basis an auctioneer known as Mfima Auction Mart was appointed to take charge and be responsible to sign all contracts and collection of rental fees in respect of the two CCM commercial buildings constructed and rehabilitated by the financial support of the plaintiff.
The plaintiff alleged that all that were done without any negotiation or mentioning modality to refund the costs he incurred. It was at that alleged breach of the terms of the agreement made the plaintiff to knock the doors of the Court for determination of the dispute.