Civil Court of the Maldives has ordered the state to pay USD 1 million in compensation to Mandhu College to cover the damages incurred due to the unlawful termination of the contract to lease the former MES building to the college.
Mandhu College had been operating in the former MES building until 2015, when the government terminated the lease contract and forced the college to move out of the building. The government had stated the contract with Mandhu College was terminated after the college failed to operate an international school in the building as specified in the contract.
Male’ High Private Limited, which operates Mandhu College, filed a lawsuit against the state, claiming the contract was terminated unlawfully. The Civil Court ruled in favour of Mandhu College and ordered the state to pay USD 1 million as compensation to the college to cover the damages incurred due to the termination of the contract.
The amount was agreed upon by all parties during the dispute resolution process carried out by the court. It covers the expenses of relocating to a new building, acquiring new equipment and resources and paying rent.
The state has been ordered to pay the full compensation amount within a period of one month.