Project Hope ordered to pay N$24,570 for breaching lease agreement

Hertta-Maria Amutenja

In a recent judgment delivered by High Court judge David Munsu, Project Hope in Namibia, has been ordered to pay N$24,570 in damages for breaching a lease agreement with the plaintiff, Leonard Kondjashili Shihepo.

The court found Project Hope liable for failing to comply with the notice period and returning the leased property in a deteriorated condition.

Shihepo initiated legal action against Project Hope, alleging a breach of their lease agreement. The dispute centred around the termination of the lease and the condition in which the property was returned.

According to the judgment, the lease agreement commenced in October 2018 and was set to continue for five years until September 2023, unless terminated with a two-calendar month notice. The court found that Project Hope failed to give the required notice, providing only fifty days instead of the stipulated sixty.

Moreover, the judgment highlighted the agreement’s clause stating that, upon expiration, Project Hope was obligated to return the premises to Shihepo in a good, clean, and tidy condition, with fair wear and tear excepted. The court determined that the property, vacated in March 2020, was not in an acceptable state upon inspection in May 2020.

“Considering how short the duration of the lease was, it could not be argued that the damage to the property’s interior represented fair wear and tear,” read the judgement.

The court held that “there was no doubt that the defendant failed to comply with the notice period of two calendar months stipulated in the agreement.”

The court ruled in favour of Shihepo and ordered Project Hope to pay damages.

The amounts awarded include N$3 180 for the inadequate notice period and N$21 390.33 for repair costs to the property. Interest on the total amount was set at 20% per annum from March 2020, until the date of final payment.

Additionally, Project Hope is liable for the costs of the suit.

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