Trader files case vs Cebu developer
CEBU CITY –– A businessman will file a case against a prominent developer in Cebu for failing to repair his building, which was damaged due to the drilling and excavation activities of the company.
Gerard Tan, president of Southgate Express Marketing, said he would go after the officers of Cebu Landmasters Inc. (CLI), who failed to deliver on their promise.
Tan earlier filed a civil suit in court against a couple for refusing to renew its lease contract beyond February 28, and for allegedly conspiring with CLI.
The spouses, who own the lot along A.S Fortuna St. in Mandaue City, are in the United States and have yet to respond to the accusations.
CLI denied the accusations hurled against the company.
“We are disheartened by the publicized allegations against us, which we vigorously deny. We welcome complaints but there are appropriate channels for this,” said CLI in a press statement.
“Rest assured, CLI will deal with this issue with the utmost integrity. Since our establishment, we have always prided ourselves on being ethical in our dealings. Our sterling track record has shown this.”
Tan said he has been leasing the 387-square-meter property of spouses, Billy and Victoria Perez, since 2005.
On Feb. 28, 2015, the first contract expired, but both parties agreed to extend the contract for five years, or until Feb. 28, 2020.
Under the first contract, Tan introduced improvements in the property by building an automotive service center as required by his China partner.
In 2017, Tan asked the permission of the Perezes to introduce major renovations in the building provided their contract will be extended for another five years or from 2020 to 2025 so that he can recover the renovation expenses amounting to P12 million.
The couple, Tan said, agreed “unequivocally and unconditionally,” hence he religiously settled all his financial obligations to the spouses.
In June 2019, Tan’s building suffered significant cracks as a result of the drilling and excavation works done by CLI for its Astra Centre development located just beside Tan’s property.
Subsequently, the Office of the Building Official in Mandaue City declared the service center unsafe and needed to be demolished.
Two months later, CLI, through its chief operating officer, Franco Soberano, reportedly promised to reconstruct and renovate the damaged service center.
Tan said the CLI committed to demolish and reconstruct the service center within six months.
The Perez couple, in September 2019, opted to sell their property to Tan, saying they would sign the Deed of Sale upon their return from the United States in December 2019.
Tan said he continued to pay his rental obligations to the couple even if the service center was not operating.
But, on Jan. 2, Tan was surprised when he received a letter from the couple’s lawyer, saying he “breached” the first contract of lease for failing to turn over the building or improvements to the Perezes when the contract expired.
Tan said the spouses informed him that they were no longer renewing the lease contract beyond Feb. 28 despite their previous agreement.
He believed that the Perez couple and CLI conspired to evict him from the property.
“We speak out against a corporate giant on behalf of many who had been taken advantage of but chose to be silent,” Tan said.
