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COMMERCIAL  COURT CASES

 

IN THE HIGH COURT OF JUSTICE (COMMERCIAL DIVISION) HELD IN ACCRA ON THE  10TH OF NOVEMBER 2011 BEFORE HER LADYSHIP BARBARA ACKAH-YENSU (J)

 

SUIT NO.BDC/82/09

 

                                                PROF. AMOAKOH GYASI-AGYEI                 =======    PLAINTIFF

 

                                                          VRS.

 

1.   KOFI AMANIAMPONG

2.   EMMANUEL BADOO                             =======    DEFENDANTS

 

=======================================================

 

 

 

JUDGMENT:

 

The Plaintiff has sued the Defendants for the following reliefs:

 

“a. USD7,000 and GH¢5,300 paid to the Defendant against the purchase of a Saturn Vue Vehicle – 2006 model.

 

b.   Interest on the said amount at the prevailing commercial rate from 2nd October 2009 to date of final payment. 

 

c. Damages for breach of contract.

 

  d.    Further and other relief.

 

e.  Costs for bringing this action on full recovery basis including

     solicitor’s costs.”

 

The Plaintiff’s case, per his pleadings and the evidence led, is that upon his return to Ghana from the USA to take up an appointment, he required a vehicle urgently for his work as he had been relying on the hiring of commercial vehicles to and from work at great cost to him.  In July 2009, the 1st Defendant offered a 2006 model of a Saturn Vue Vehicle for sale to him.  According to the Plaintiff, the vehicle was described to the Plaintiff as “accident free and dent free and ready for use.”  The 1st Defendant introduced the 2nd Defendant on phone as his Agent in Ghana.  Consequently, the 2nd Defendant contacted the Plaintiff and confirmed his relationship as the 1st Defendant’s Agent. The vehicle which was to be shipped from the U.S.A. by the 1st Defendant to the Agent in Ghana, was priced at USD16,800 The Plaintiff paid a total of USD7,000 to the Defendants in Ghana.

 

 It is Plaintiff’s further case that the 1st Defendant understood that time was of the essence and following the urgency attached to the transaction the 1st Defendant warranted that the vehicle would arrive in Ghana by the end of August 2009.  However, it was not until 28th September 2009 that the Plaintiff got to know that the vehicle had arrived at the Port of Tema when the Defendants requested the Plaintiff to pay GH¢5,300 to a Clearing Agent, to have the vehicle cleared.  And even though the Plaintiff insisted on seeing the vehicle at the Port to verify for himself the state in which the vehicle was before paying the clearing fees, Plaintiff says that the Defendants managed to scheme him out of seeing the vehicle at the Port, but succeeded in getting him to release the sum of GH¢5,300 to the Clearing Agent who cleared the vehicle.

 

The Plaintiff also says that it was not after weeks subsequent to clearing of the vehicle that he saw it for the first time at the 2nd Defendant’s house. The vehicle at the time had been involved in an accident and could not be started due to mechanical faults resulting from the accident.  This, the Plaintiff contends, was contrary to the warranty given to the Plaintiff that the vehicle was accident free and dent free and ready for use. The Plaintiff rejected the vehicle and demanded a refund of the amounts of USD7,000 and GH¢5,300 which he had paid for the vehicle.  Subsequently the Defendants sent the vehicle to a garage at Mamprobi in Accra where it underwent mechanical repairs, bodyworks and spraying.  The Defendants were asking the Plaintiff to pay the difference so that he could have the vehicle.

 

The Plaintiff claims that the Defendants colluded to sell an accident vehicle to him as an accident free vehicle.  The Plaintiff claims further that he has suffered damages as a result of the conduct of the Defendants.  Plaintiff testified that on the 7th of June 2011, the Defendants paid an amount of US$3,000 to Plaintiff through the Defendants’

 

The Defendants on the other hand deny in their pleadings, the Plaintiff’s assertions and contend that the vehicle in question was valued at US$10,000 and an additional amount of US$2,000 was to be paid by Plaintiff to cover freight charges.  It is the contention of the 1st defendant that he informed Plaintiff that the said vehicle was an accident vehicle which had been repaired after a tree fell on the top while it was parked in the USA.  That, pictures of the vehicle as well as pro-forma invoices, indicating the chasis number of the vehicle were sent to the Plaintiff before Plaintiff completed negotiations with the 1st Defendant on the sale of the vehicle.  After the parties had settled on the purchase price of US$12,000 as well as the terms of payment. The Plaintiff paid various sums of money totalling US$7,000.  Thereafter, 1st Defendant, in the presence of the 2nd Defendant, gave a quantity of vehicle parts to Plaintiff with the clear understanding that those parts would be needed and used by the Plaintiff to fix on the said vehicle.  The Plaintiff subsequently went to the Port of Tema to see the Clearing Agent and to negotiate the release of the vehicle to him.  Plaintiff’s request was however turned down by the Clearing Agent because he could not satisfy the Clearing Agent that he had fully paid the amount of GH¢5,300 for the vehicle to warrant its release to him.

 

Defendants deny ever scheming the Plaintiff out of seeing the vehicle at the Port of Tema.  Defendants say further that the clearing charges were voluntarily paid by the Plaintiff to the Clearing Agent.  It is also the contention of the Defendants that after the contract had been made between the Parties, Plaintiff sought to place additional responsibility on the 1st Defendant to have the vehicle sprayed at 1st Defendant’s cost, and this was objected to by the 1st Defendant .

 

The Defendants have counter-claimed for the following:

 

i.              An order for specific performance for the Plaintiff to pay to the 1st Defendant, the sum of US$5,000 being outstanding balance on one used Saturn Vue (2003) model sold to Plaintiff by the 1st Defendant but which Plaintiff has refused, failed or neglected to fully pay.

 

ii.             Interest on the said US$5,000 at the prevailing bank lending rate from the 1st day of November, 2009 up to and inclusive of date of final payment.

 

iii.           An order that the Plaintiff is in breach of contract.

 

iv.          Damages for breach of contract.”

 

After the Plaintiff led his Evidence in Chief, the Court adjourned and served the Defendants notice to come to Court to cross-examine Plaintiff and also defend the suit.  Neither the Defendants nor their Counsel appeared in Court at the next adjourned date.  The Defendants were thus deemed to have waived their right to cross-examine the Plaintiff and also to defend the suit.  In the case of Ankumah v. City Investment Co. Ltd. [2007-2008] SCGLR 1064 the Supreme Court held that the trial court rightly held that a court is entitled to give judgment if the party fails to appear after notice of proceedings has been given to him.  For then, it would be justifiable to assume that he does not wish to be heard.

 

It is trite learning that pleadings are not substitute for evidence. Our Evidence Decree, 1975 (N.R.C.D 323)  as interpreted in Ababio v. Akwasi III [1994-95] Ghana Bar Report, Part II, 74 is that a party whose pleadings raise an issue essential to the success of the case assumes the burden of proving such issue.  By section 21 (a) and (b) of the Evidence Decree, a Judge may find that the evidence of the party with the right to begin has so effectively established the basic facts that a reasonable mind must necessarily conclude that their existence is more probable than their non-existence. Where this situation arises, the Judge has to find that the resulting presumed facts have been established; that is, a prima facie case has been established in favour of the plaintiff or the person on whom lies the burden of persuasion, unless and until the party against whom the presumption operates proves the non-existence of the presumed fact.

 

In Re Ashalley Botwe Lands:  Adjetey Agbosu & Ors v. Kotey & Ors [2003-04] SCGLR 420, the Supreme Court per Brobbey JSC reiterated the position of the law that it is the duty of the plaintiff who took the defendant to court to prove what he claimed he is entitled to from the plaintiff. However, if the court has to make a determination of a fact or of an issue and that determination depends on evaluation of facts and evidence, the defendant must realise that the determination cannot be made on nothing. If the defendant desires the determination to be made in his favour, then he has the duty to help his own cause or case by adducing before the court such facts or evidence that will induce the determination to be made in his favour.

 

As stated by Justice Mensa Boison JA in the case of Acquaye v. Awotwi [1982-83] 2GLR 1110, the testimony of a plaintiff is presumptive evidence which is rebuttable.  The learned Judge stated as follows:

 

“For it is a well-known rule of evidence that although proof in a civil case rests on the Plaintiff, this burden is discharged when once the Plaintiff has introduced sufficient evidence of the probability of his case”

 

The Defendants herein therefore had a duty to lead evidence to rebut the evidence adduced on behalf of the Plaintiff, but they failed to do so.

 

The position of the law was succinctly stated in the case of In Re Krah (decd); Yankyeraah and Others v. Osei-Tutu and Anor [1989-90] 1 GLR 638 at 639 SC as follows:

 

“Having failed to put their case across, the Defendants must be presumed to have accepted the case put forward by the plaintiff …………..” 

 

In my view, the Plaintiff led credible and cogent evidence to prove his case, and I believe him.   I will therefore give judgment in favour of the Plaintiff on the four corners of the Plaintiff’s evidence.  I will accordingly hold that the Plaintiff is entitled to recover from the Defendant the sum of US$7,000 less the amount of US$3,000 paid to the Plaintiff in June, 2011.  Plaintiff is also entitled to recover the sum of GH¢5,300.  Plaintiff is further claiming interest on the said amounts.

 

The basis of awarding interest on amounts due and owing was succinctly stated by the eminent Lord Denning in the case of Harbutt’s Plasticine v. Wayne Tank Co. Ltd [1970] 1 All ER 225 as follows:

 

“...it seems to me that the basis for an award of interest is that defendant has kept the plaintiff out of his money; and; the defendant has had use of it himself.  So he ought to compensate the plaintiff accordingly”

 

Also, by virtue of the Court (Award of Interest and Post Judgment Interest)Rules, 2005 (C.I. 52), if the Court decides to make an order for the payment of interest on the sum of money due to a party in an action, the interest shall be calculated:

 

a.     At the bank rate prevailing at the time the order is made, and

b.   At simple interest

   

As stated above, Defendants paid US$3,000 to the Plaintiff in June 2011, therefore reducing the principal amount owed to Plaintiff to US$4,000.  The Plaintiff is claiming interest from 2nd October, 2009.  I will find that interest shall be paid on the sum of US$7,000 or its equivalent at the prevailing bank rate from 2nd October, 2009 until 7th June 2011.  Subsequently, interest shall be paid on the outstanding balance of US$4,000 or its cedi equivalent at the prevailing bank rate from 7th June 2011 until date of final payment.  Interest shall also be calculated on the sum of GH¢5,300 at the prevailing bank rate from 2nd October, 2009 until date of final payment; and I shall so hold.   

 

Plaintiff is also making a claim for damages for breach of contract.  Dr. S. Twum JSC in Delmas Agency Ghana Ltd v. Food Distributors International Ltd [2007-2008] SCGLR 748 stated that, general damages are such as the law will presume to be the natural or probable consequences of the defendant’s act.  It arises by inference of the law and therefore need not be proved by evidence.  The law implies general damage in every infringement of an absolute right.  The catch is that only nominal damages are awarded. Where the Plaintiff had suffered a properly quantifiable loss, he must plead specifically his loss and prove it strictly.  If he does not, he is not entitled to anything unless general damages are also appropriate.

 

I will find that the Plaintiff is entitled to an award of general damages and order that Defendants pay to Plaintiff an amount of GH¢2,000 by way of damages. 

 

In conclusion, I will dismiss Defendants’ counter claim in its entirety for want of proof.

 

Costs assessed at GH¢3,000 against the Defendant.

 

                  

                   (SGD)

BARBARA ACKAH-YENSU (J)

JUSTICE OF THE HIGH COURT

COUNSEL

J.A. LARKAI                         -        PLAINTIFF        

 
 

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