On 16 May, 2016, the Supreme Court decided not to proceed with Tivoli Arendus OÜ’s appeal in cassation in the court case between Tivoli Arendus OÜ and Nordecon AS. The corresponding Supreme Court decision finished the court case which commenced on 13 September, 2013 and resolved Nordecon AS’ action against Tivoli Arendus OÜ and Tivoli Arendus OÜ’s counter action against Nordecon AS in the amount of 1 319 232.90 EUR. The court did not satisfy Tivoli Arendus OÜ’s claim and required Tivoli Arendus OÜ to pay Nordecon AS 174 551.04 EUR as principal amount and additionally fixed interest in the amount of 7192.61 EUR and interest until the fulfilment of the obligation.
Tivoli Arendus OÜ is Arco Vara group’s company whose sole owner since year 2014 is Arco Investeeringute AS which is Arco Vara AS’ 100% subsidiary. Tivoli Arendus OÜ started business activity in 2010 and its sole project was Tivoli residential development in Tallinn which was finally stopped in year 2013 when the Tivoli land plots were sold at a public action (see announcement on 10 June, 2016).
The negative court decision which was adopted in relation to Tivoli Arendus OÜ does not influence Arco Vara group’s consolidated balance sheet, income statement, cash flow nor management’s turnover and profit prognosis.
Evelin Kanter
Head of Legal Department
Arco Vara AS
Tel: +372 614 4594
evelin.kanter@arcovara.ee
http://www.arcorealestate.com