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The Federal High Court Seventh Civil Bench gave a verdict on December 20
ruling in the case of Ethiopian Insurance Corporation against Greenland Private Limited Company, ordering the defendant to pay in installments over a six month period to the plaintiff.
The plaintiff in a civil suit charge it instituted on March 12, 2010 had alleged that the defendant had bought eight different insurance policies and had been benefiting from them since the end of 2008.
The defendant wrote a letter in December 2008 asking to stop the eight different insurance policies but by that time the defendant owed dues amounting to about 615,000 birr out which only 46,245 birr was paid leaving a premium due of 568,662 birr, which the defendant acknowledged they had not paid
But the defense said they were overcharged and that they there was only evidence that they owed 516,637 birr.
The court dismissed ordering a review of money data and ordered the defendant to pay 557,403 birr. The plaintiff lodged an appeal on February 17, 2011 through a letter stating that the issue of interest loans on the premium dues were overlooked by the court as well as 11,500 birr it spent on legal costs. The court agreed to charge the defendant interest but said both parties were responsible for their own legal fees.
This raised the amount awarded to the plaintiff to 616,623 birr.
The court after sending the verdict file to the defendant in a November 2 session ordered the defendant to present its reason in written form for non-compliance with the court verdict on November 24, 2011.
The defendant, after appealing to the court that it had already paid 30 thousand birr, and saying his work depended on tourism which was an unpredictable industry, asked for the court to give them a one year grace period to pay the money at a rate of 43,623 birr a month. The court after hearing both sides of the argument said in order not to harm the tourism sector gave the defendant six months to repay the money.