Published: 16 December 2018

The High Court has ordered EgyptAir Holdings to settle a debt of over $20 000 owed to Rainbow Tourism Group Limited for its hotel and hospitality services rendered to the airline's guests.

This comes as the airline failed to clear the US$20 434 balance after the five-star Rainbow Hotel's Harare branch accommodated some of its guests in 2013.

EgyptAir is the flag carrier airline for Egypt. The airline is based at Cairo International Airport, its main hub, operating scheduled passenger and freight services to more than 75 destinations in the Middle East, Europe, Africa, Asia, and the Americas.

The High Court has made a judgment compelling EgyptAir to settle its debt with Rainbow Tourism, a leading Zimbabwean hospitality management company whose portfolio of hotels includes Rainbow Towers Hotel and Conference Centre, A'Zambezi River Lodge, Victoria Falls Rainbow Hotel, Bulawayo Rainbow Hotel, Kadoma Hotel and Conference Centre, New Ambassador Hotel, Rainbow Beitbridge Hotel and Rainbow Hotel Mozambique (Beira).

In its founding affidavit, Rainbow's lawyers Matsika and partners told the court that sometime in 2013 the hotel entered into an agreement with EgyptAir to accommodate and offer hotel services to its guests.

"The plaintiff and defendant made the agreement between May 25 and July 31 2013. The plaintiff was to provide hospitality and hotel services at Harare Rainbow Towers Hotel to various guests of the defendants at its specific and special request," the lawyer said.

Matsika said EgyptAir was supposed to pay the agreed amount for services offered to its visitors as part of the contract but has up to date failed to clear its arrears with Rainbow Hotel.  

"The defendant was to make payment of the various amount levied by the plaintiff upon the delivery of the service or within one month.

"Pursuant to the agreement, the plaintiff on different occasions provided hotel and hospitality services to the defendant's guests at its Harare Rainbow Towers Hotel.
The costs of services so rendered amounted to US$20 434 which amount has remained outstanding. Despite several demands the defendant has failed, neglected or refused
to settle the amount thereby breaching the agreement between the parties," Matsika said.

The judgment was made in favour of the Rainbow following EgyptAir's failure to enter an appearance to defend against the plaintiff's claim.

Matsika had recommended that since the time to enter an appearance to defend expired on July 7 this year, within the stipulated 20-day period, the High Court was supposed to rule and make a judgment against the defendant.
- dailynews

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