Former PriceClub directors ordered to pay €898.262.71

The First Hall of the Civil Court today ordered Wallace Fino and Chris Gauci, former directors of PriceClub Operators to pay €898.262.71 to Paolo Bonnici Ltd for merchandise sold to them.

Mr Fino and Mr Gauci pleaded that they ought not to have been sued as they had bought the merchandise on behalf of Price Club Operators Limited.

The court , however, found that Paolo Bonnici Ltd's claim was based upon a credit application form which had been signed by Mr Fino and Mr Gauci and in terms of which a current account was opened. On the basis of this account, Mr Fino and Mr Gauci could purchase merchandise from the company. Although it was true that the form stated that the merchandise was to be sold by an outlet run by Price Club Operators Ltd, this did not mean, said the court, that the contract was signed by this company. Mr Fino and Mr Gauci had not stated on the form that they were acting on behalf of Price Club Operators Limited, but had signed personally. Even if one were to argue that the form was signed on behalf of Price Club, both Mr Fino and Mr Gauci had obliged themselves on the credit application form to undertake personal liability for payment.

The court ordered the outstanding amount to be paid, with interest.