Court rules in favour of STO in Al Fresco cafe dispute

The Civil Court has ruled that the State Trading Organisation (STO) was within its rights to order the eviction of the Al Fresco cafe at the STO trade centre in Malé.

The Cloud Nine Catering and Cafes company – which operates Al Fresco – sued STO in January after the state-owned enterprise gave a 90-day notice to vacate the ground floor premises of the cafe.

In the judgment (Dhivehi) delivered on Thursday (October 2), the Civil Court ruled that the notice was given in accordance with the lease agreement.

The agreement contained a clause that authorises STO to terminate the lease with due notice, the judge noted.

Cloud Nine had argued that Al Fresco should be allowed to operate until the end of the lease period. The court granted a stay order in January halting the eviction pending a judgment.