Territorial Court

Summary: Defendant, driver of a taxi cab for plaintiff cab company, had entered into an agreement with the owner to purchase a vehicle which the defendant was then to use as a taxi cab. Defendant was late with weekly payments, plaintiff cut off "stand by" dispatch service which was to be included in contract, and there was a dispute as to which of the parties was to be responsible for the GST and insurance payments. The parties came to court for assistance in interpreting their contract. The court reviewed the contract between the parties and found that the defendant owed three late payments, and the plaintiff company / vendor was responsible for purchasing insurance and paying GST. The plaintiff was also responsible for compensation for cutting off "stand by" dispatch services. According to the contract, the plaintiff driver had not worked long enough for the signing bonus made reference to in the contract.
Decision: Plaintiff is entitled to be paid by the defendant $506.25 for the balance of the purchase price of the vehicle. Defendant is entitled to be paid by the plaintiff the amount of $265.00 for insurance and for the loss of "stand by" dispatch services. Upon payment of the $241.25 difference owed by the defendant to the plaintiff, the transfer of the vehicle is to be completed, but if such amount is not paid within one month, then interest shall accrue at the rate of 5% per annum.
Subjects: Contracts - Interpretation