Africa-Press – Eswatini. Mvulane Trading (PTY) Limited, a company owned by astute businessman Moses Motsa is demanding E100 000 from HI Press Investment (PTY) Limited over sale of business.
In its particulars of claim, the plaintiff (Mvulane Trading (PTY) Limited) informed the court that on April 19, 2017 it purportedly entered into a contract of sale of business, parts and goodwill of the plaintiff to the defendant. A goodwill purchase agreement is an agreement to purchase an intangible asset owned by and associated with, the operation of a business entity. A goodwill purchase agreement is one that is typically entered into in conjunction with an asset purchase agreement and as part of an acquisition of a company. It is alleged that when the contract was concluded the plaintiff was represented by its director (Motsa) and the defendant by Ntokozo Dlamini.
Payments
The plaintiff submitted to the court that the material terms of the agreement were inter alia that, the purchase price was fixed at E1 million and it was to be payable on or before May 1, 2017. The defendant, according to the plaintiff allegedly made payments towards the liquidation of the purchase price and the amount of E100 000 remained outstanding. These are allegations contained in particulars of claim whose veracity is still to be tested in court and the defendant is yet to file its papers in the event of disputing the allegations against it as presented by the plaintiff.; “The defendant then sought to liquidate the outstanding balance by way of a cheque which was deposited at First National Bank by the plaintiff but was dishonoured for lack of funds. The copy of the returned cheque has however gone missing,” contended the plaintiff.
The plaintiff told the court that it had duly performed its obligation in terms of the contract by conferring to the defendant the goodwill, business and parts in terms of the agreement. According to the plaintiff, the defendant allegedly remained indebted to it in the amount of E100 000 which it claimed was now owed and payable. It was further, the plaintiff’s submission that despite several demands, the defendant had allegedly failed and/or neglected to pay the aforementioned amount. It then entreated the court to direct the plaintiff to pay it the sum of E100 000 with interest thereon at nine per cent per annum calculated from March 17, 2017. The matter is still pending in court and appearing for the plaintiff are lawyers from Sibusiso B Shongwe and Associates.
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