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“Accordingly, since council has resolved to cancel the joint venture agreement, it must give EasiHold 90 days notice.
“The notice to terminate will then trigger termination negotiations between the two parties.
“If agreement is achieved then the two parties can amicably part ways,” he said.
Mr Masepe said only when the two parties fail to agree will the matter be taken for arbitration “whose objective will be to achieve termination”.
At a full council meeting on Thursday councillors confirmed the decision of the business committee headed by Councillor Thomas Muzuva to break the partnership.
Mayor Muchadeyi Masunda had earlier announced that EasiHold boss Mr Mike Clark had written to him declaring a deadlock and announcing that the matter had been taken for arbitration.
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Mr Masunda had tried to dissuade the councillors from discussing the matter saying it was now “subjudice” but the councillors would have none of that reminding Mr Masunda that it was unfair to remain in a marriage in which the other part had no interest.
“Anything to do with EasiPark is subjudice. We do not want to end up prejudicing the council position,” he said.
Clr Sasha Jogi asked whether EasiPark should continue operating when council had pulled out of the deal. The dispute has been simmering for some time now as revelations indicate that town clerk Dr Tendai Mahachi wrote to Mr Clark insisting that if he failed to meet certain targets, the city would pull out.
Clr Muzuva said EasiHold was claiming ownership of the equipment it had installed in the city at the expiry of their contract and was also claiming clamping fees that were paid to the city.
Clr Panganayi Charumbira said the city should not be afraid of cutting ties with EasiHold.
He said the city should expect to lose something in the arbitration, but should not be stalled by such fears.
Clr Wellington Chikombo likened the presence of EasiPark to an “elephant in a room”.
Clr Herbert Gomba said the city treasurer Mr Misheck Mubvumbi should be mandated to look for money to buy parking meters and other accessories that enable council to run parking profitably.
The scope of the business involved installation of vehicle control equipment at council’s two parkades and two parking lots, street parking meters in the area bounded by Fourth Street to the east and Chinhoyi Street
to the West, Samora Machel to the North and Charter Road to the south.
EasiHold was also to install vehicle control equipment at Mbare Bus Terminus, Market Square, Cameroon Street, Angwa Street and Robert Mugabe Commuter ranks.
All the work was supposed to be completed in January 2010, but to this day the majority of the work is still to be done.
Clr Friday Muleya said EasiHold should approach the courts of law if the company feels aggrieved by the council decision while Clr Peter Marange questioned why council was putting emphasis on following the law when the partner had breached the joint venture agreement.
Online Reporter