Rundu to fight N$9.2m RedForce claim

The Rundu town council has decided to defend itself against a legal claim instituted by the town&#039;s former debt collection company, RedForce.RedForce is demanding over N$9 million, which it claims the council owes it following the termination of the contract between the two parties earlier this year.RedForce filed the application on 14 February.Rundu CEO Olavi Nathanael told Namibian Sun this week that the council has "sent a letter to the government attorney with instructions to defend us.""Furthermore, take note that the days accorded to us by the High Court are 21 days and not 10 days. We wait for the advice from the government attorney on the status thereof," he added.Loss of incomeAccording to papers filed in the Windhoek High Court, RedForce claims it lost an estimated income of N$9.2 million due to the termination of the contract last month, 10 months before the agreement was due to end.RedForce has a two-part claim, of which one amounts to N$5.1 million – the revenue the company claims it could have earned if the contract ended in December.The second claim, N$4.1 million, is what RedForce said it could have made from collecting data."As a result of the repudiation of the agreement by the defendant [Rundu town council], the plaintiff [RedForce] has lost income for the period 1 March 2023 to 31 December 2023," court papers state.MutualThe town council informed the debt collector of its intention to terminate the contract in January, while two weeks later, the company responded with its own termination.Prior to the termination of the contract by council, Namibian Sun reported that RedForce decided to terminate the contract because it was allegedly unhappy with how the local authority had been conducting itself, citing interference from council staff and councillors who sabotaged its efforts.On its part, the town council chose to terminate the agreement because RedForce failed meet its monthly N$5 million target.kenya@namibiansun.com

Rundu to fight N$9.2m RedForce claim

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Namibian Sun 2025-05-13

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Rundu to fight N$9.2m RedForce claim

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Namibian Sun 2025-05-13

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