Court orders CEO Africa Roundtable to settle US$4 500 debt to US consultant

Business Reporter

The High Court has ruled in favour of a US-based consultant after ordering the CEO Africa Roundtable to settle a US$4 500 debt for services rendered during a business trip to America in 2023.

The ruling, delivered by Justice Neville Wamambo, comes after the consultant Mr Simba Mujuru appealed against a Magistrate’s Court judgment that had dismissed his entire claim for over US$6 000.

While the High Court found that the consultancy fees of US$4 500 was indeed owed, it upheld the dismissal by the Magistrates Court of a claim for extra expenses amounting to US$1 600

The legal battle stemmed from a Service Level Agreement signed between Mr Mujuru and the CEO Roundtable Africa in February 2023. Mr Mujuru, a Zimbabwean businessman based in the US, was hired to organise a high-profile business mission to the US for the CEO Roundtable.

Among his tasks was to organise business roundtables and seminars, facilitating engagements with the US diaspora community and financiers, arranging company visits and leisure activities.

Under the contract, the CEO Roundtable agreed to pay a US$15 000 consultancy fee plus US$5 400 in programme costs, totalling US$20 400.

After the business mission, Mr Mujuru claimed he was owed US$4 500 for his services plus US$1 610 for extra expenses incurred on behalf of the organisation.

In his judgment, Justice Wamambo noted that the drafting of the contract was not done in the most “elegant” manner, leading to differing interpretations of payment terms.

The lower court had originally ruled that the CEO Africa Roundtable had paid all dues, citing evidence that the organisation had disbursed US$21 400.

However, the High Court found this finding to be not supported by evidence.

Justice Wamambo highlighted the respondent failed to produce clear documentation proving the US$15 000 had been paid.

The judge also accepted evidence presented by Mr Mujuru proving that the CEO Africa Roundtable was fully aware of the outstanding debt. This was supported by detailed correspondence in which the organisation explicitly admitted the debt existed.

The High Court criticised the Magistrate Court for ignoring this “crucial evidence” and making findings based on a “verbal contract” that was never actually pleaded or proved by either party.

The High Court ultimately split the difference between the two claims.

It found the claim for US$4 500, being the balance of the service fee, was proven and ordered its payment.

The claim for US$1 610 in additional travel and hotel costs was dismissed.

The judge ruled that the contract explicitly capped programme costs at US$5 400 and required express prior approval for any “extras,” which the consultant failed to prove he had obtained.

“The claim of US$4 500 or the equivalent payable in Zimbabwean dollars at the prevailing interbank rate… is hereby granted,” the judge ruled, and also ordered CEO Africa Roundtable to meet costs.

CEO Africa Roundtable is a high-level platform for corporate chief executive officers and senior executives in both public and private sectors. Its mandate is to advance economic development across Africa.

Following the judgment, Mr Mujuru hailed the court’s decision, saying the ruling serves as a significant confidence booster for members of the Diaspora community and international partners.

“This judgment sends a clear message that Zimbabwe is a safe and viable destination for business,” Mujuru said.

“It proves that we have a sound and impartial judicial system where, even if a deal goes sour, an aggrieved party can seek and find genuine legal recourse.”

Mr Mujuru added: “For those in the Diaspora looking to engage with local entities, businesses, this provides the necessary assurance that their investments, money and contracts are protected by the rule of law.”

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