Introduction: Benuva Stiftung, a not-for-profit charitable foundation, sued Sean Abadian (aka Ehsan Abadian) and Sea Investments Ltd. for repayment of over $20 million in loans. Amir Abadian, Sean Abadian’s father, was also a defendant but did not appear.

Legal Arguments/Issues:

• Loan Agreements: Benuva claimed it provided loans totaling more than $20 million to the defendants starting in 2016, which were not repaid.
• Fraudulent and Negligent Misrepresentation: The defendants alleged that Jurg Basler, on behalf of Benuva, misrepresented that Benuva was legally prohibited from making commercial investments and that the loans were structured to appear as non-commercial investments. They claimed these agreements were invalid due to these misrepresentations.
• Counterclaim: The defendants sought a declaration that the loan agreements and related mortgages were invalid and alleged fraudulent and negligent misrepresentations by Basler and Benuva.

Applicable Legal Principles: The court applied Rule 3-7 of the Supreme Court Civil Rules, which requires full particulars of fraud and misrepresentation to be stated in the pleadings.

Court's Decision: Associate Judge Harper ordered the defendants to provide further particulars of their allegations, including details of the representations and agreements, within 45 days.

Costs/Awards: Costs were ordered to be in the cause, meaning the final allocation of legal costs would be determined at the conclusion of the case.

Conclusion: The court granted Benuva's application for particulars, requiring the defendants to specify their allegations to allow Benuva to prepare adequately for trial and discovery.