IPS Board of Directors terminated lease agreement with Manzana T

Asuncion, IP Agency.- By resolution of the Board of Directors of the Social Security Institute (IPS), the lease agreement with Manzana T was rescinded. “The lease agreement is no longer valid, because it was rescinded by the Board of Directors due to non-payment of rent,” according to a statement made today by the legal director of the IPS, José González.

He mentioned that there are two lawsuits, one on rent collection and another on eviction against the Digital Entertainment firm that rents the Manzana T. The total debt as of June 2024 amounts to G. 8,805,836,204

He pointed out as background that the eviction trial was initiated on July 7, 2020, for non-payment of rent, against the main tenant Digital Entertainment and some 24 Sub-Tenants.

He commented that in addition to the judicial delay, there are also incidents and delaying appeals promoted by both the Subtenants and the company Digital Entertainment SA itself.

With the latest ruling of the Court of Appeals, Sixth Chamber, which rejects, due to improper granting by the Court, the appeal filed by Digital Entertainment against the order, the case is placed in a state of Sentence, that is, it leaves the way clear for the Court to issue a final sentence.

“The Courts and Tribunals are now expected to issue their rulings within the time frame established by law in order to avoid delaying the trial.

The appeal was rejected after 1 year and 6 months. According to the law, this resolution should have been issued within a period of no more than 15 working days,” added the legal director.

Now Digital has filed an appeal for expiration of the instance, which is inadmissible from the point of view of the IPS, and whose rejection in limine was requested yesterday. “We hope that the court rejects the appeal for expiration and issues a sentence ordering the eviction of both Digital Entertainment SA and all the sub-tenants.

Digital Entertainment filed a retention lawsuit for improvements and initially obtained a precautionary measure of retention that was revoked by the Second Chamber of Appeals. They lost this lawsuit due to the expiration of the instance.

The expiration is still being discussed, but there is no judicial measure in force that justifies the presence of the delinquent tenants in the Property of the IPS policyholders, concluded the head of the legal department of the IPS. The administrative act of termination is final and Digital Entertainment lacks authorization to continue sub-leasing the Property.

Finally, the legal director mentioned that the subtenants will be notified regarding the status of the revocation of the precautionary measure of retention that Digital Entertainment SA had and the termination of the contract, reasons for which, they will have to pay the rents directly to the IPS.

The Digital Entertainment company must immediately stop illegally profiting from the property of the Institution’s policyholders, according to the IPS.