Chinese company threatens to sue beauty pageant organizer

By Hayal Alemayehu

Lifan Motors, a Chinese car assembling company based in Ethiopia, and Ethiopian Village, a beauty pageant organizer which organized the latest Miss Ethiopia beauty pageant, are at loggerheads after a failed agreement between them relating to the beauty contest held at the Addis Ababa Hilton on July 24. The two parties had earlier agreed to cooperate, with Lifan sponsoring the beauty contest and Ethiopian Village promoting Lifan based on a certain set of criteria and requirements.

The two parties finally broke up, with one accusing the other of breaking the provisions of the very agreement they entered to.

Though Ethiopian Village claimed that Lifan had pledged to provide one vehicle it assembles for free as a prize to the winner of the beauty contest, Lifan refated this and said that it had only agreed to provide a discount for the same purpose.

Ethiopian Village said that the two parties signed a written agreement while Lifan asserted that the agreement was made orally. A signed agreement, however, has not been produced by both sides.

Subsequently, Lifan is threatening to sue Ethiopian Village for defamation, according to the company’s statement sent to The Reporter.

Lifan had, in principle, agreed to be the sponsor of the beauty pageant. However, the agreement was based on the condition that Ethiopian Village promote the company effectively, according to Lifan’s statement.

The Chinese company alleged that the promotional activities undertaken by Ethiopian Village were not up to the agreed standard.

Lifan said in a statement that Ethiopian Village was defaming its reputation in the market and would take legal action against it in the near future.

EthiopianReporter