Jiuguang Zhenguang was accused of breaching the agreement and no refund of the lease, but was recovered by the exchange fund company and claimed.

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Written by: Zhu Xixin

2019-12-16 19:39

Jiulong Zhenguang Middle School is accused of co-organizing a kindergarten with an exchange fund company three years ago. The company is responsible for the advancement of rent, utilities, etc. However, the company claimed that Zhenguang had repaid part of the advance payment according to the agreement and did not form the school council according to the agreement. Therefore, it requested that Zhenguang originally intended to be used as a kindergarten unit. The company is just an agent. The exchange fund company then entered the High Court, in addition to asking Zhenguang to return the unit, and claimed more than 1.4 million yuan.

The plaintiff was the International Higher Education Exchange Fund Co., Ltd. and the defendant was Kowloon True Light Middle School.

Entry into the law stated that the plaintiff reached a memorandum of agreement with the defendant in October 2016, and co-organized a kindergarten at the "Gate of the Front" at the front road in Kowloon City. According to the agreement, a school council was required, of which four adults were representatives of the plaintiff. The plaintiff therefore rented a berth for 150,000 yuan per month and allowed the defendant to use it according to the agreement. Starting from November this year, the rent increased to 172,000 yuan.

However, the plaintiff alleges that the defendant failed to pay part of the water and electricity charges advanced by the plaintiff in accordance with the agreement. In addition, the defendant did not establish a school council in accordance with the composition of the agreement.

The plaintiff accused the defendant of violating the agreement. He wrote to him last year to terminate the agreement and asked the other party to return the unit by July of this year. However, in the letter to the plaintiff, the Education Bureau and the owner of the berth, the defendant stated that the plaintiff was only the defendant's agent when he signed the lease.

The plaintiff further stated that the defendant not only failed to return the unit and owed the above-mentioned utilities, but also owed rent, management fees, rates and government rent, which involved at least 1.4 million yuan.

Case number: HCA2304 / 2019

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