09 December 2009

Legenda told to vacate Subic casino-hotel

A foreign investor that has defaulted on rentals for its casino and hotel buildings in this free port has been ordered by the court to vacate the premises and remove all its personnel and belongings from the buildings.

Legend International Resort Limited (LIRL), which operates the Legenda Hotel and Casino here, was given three days to move out, said Sheriff Rogel Pagayon of the Regional Trial Court’s Branch 74 in Olongapo City.

The “notice to vacate”, which was served by Pagayon last Friday, was based on a writ of execution issued by the RTC that also ordered the LIRL to pay back rentals to the Subic Bay Metropolitan Authority (SBMA).

The one-page notice issued by Pagayon asked the LIRL to abide by the court order, and warned that in case of non-compliance, “the undersigned will be constrained to remove you and your belongings, from the premises in question, by the arm of the law.”

The notice to vacate was addressed to the LIRL “and all persons claiming rights under them”.

According to the writ of execution issued by RTC Branch 75 on December 3, the issue of LIRL’s obligations to the SBMA has already been resolved by Branch 4 of the Municipal Trial Court in Cities (MTCC).

The dipositive portion of the MTCC decision ordered the LIRL to vacate four properties that it leased from the SBMA.

Aside from vacating the premises, the LIRL was also ordered to pay the SBMA $225,886 for base rent and unpaid sublease shares on the Legenda hotel properties for the period April 2002-January 2003; P872.5 million as rent for casino facilities for the period September 2000-May 2009; and P941,562 as sublease share for the long-term occupancy agreement between the LIRL and its concessionaire GYU International, Inc. for the period September 2007-May 2009.

The MTCC ruling also compelled the LIRL to pay the SBMA a total of P10.96 million for the cost of the lawsuit.

According to Marian Ravelo, clerk of court at RTC Branch 75, the SBMA filed a motion for execution on November 16, more than one month after the October 8, 2009 ruling by the MTCC.

The motion, in turn, was granted by the RTC on December 2, Ravelo added. (SBMA Corporate Communications)