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GHANA BAR REPORT 1993 -94 VOL 2

 

Prestige Agencies Ltd v Fems International Ltd (No 3)

COURT OF APPEAL

ESSIEM, ADJABENG, LUTTERODT JJA

18 JUNE 1992

 

 

Courts – Court of Appeal – Jurisdiction – Stay of proceedings – Circumstances in which Court of Appeal may stay proceedings in court below – Court of Appeal (Amendment) Rules 1975 (LI 1002) r 2.

Upon being served with the plaintiff’s writ of summons issued in the High Court, the defendant-applicant entered conditional appearance and applied to set aside the writ on the ground that the action was statute-barred. At the hearing of the application, counsel for the defendant-applicant raised a preliminary legal point. The judge, in his ruling, not only overruled the preliminary objection but proceeded to dismiss the substantive application also. The defendant-applicant appealed against the ruling and moved the court for a stay of the substantive proceeding pending the determination of the appeal. Again the trial judge turned down the application. The defendant-applicant then repeated the application for stay of proceedings in the Court of Appeal. He submitted that the Court of Appeal had jurisdiction under rule 27(1) of the Court of Appeal Rules 1962 (LI 218) as amended by rule 2 of the Court of Appeal (Amendment) Rules 1975 (LI 1002) and that the word “of” in the rule was the draftsman’s error that the court ought to amend to read “or” to enable the court to exercise its jurisdiction to grant the application for stay of proceedings. Alternatively he invoked the inherent jurisdiction of the court to stay the proceedings.

Held: The Court of Appeal did not have jurisdiction to stay proceedings. The court could exercise its inherent jurisdiction to stay the proceedings only if the applicant had appealed from the refusal of the court below to grant the application for stay of proceeding. In so far as the applicant was not appealing against such refusal but had brought a fresh application, to the Court of Appeal, the court could not invoke its inherent jurisdiction to determine the application. Takyi v Ghassoub (Ghana) Ltd [1987-88] 2 GLR 452 cited. Republic v Akim Kotoku Chieftaincy Tribunal, ex parte Adu [1987-88] 1 GLR 118, CA distinguished.

Cases referred to:

Republic v Akim Kotoku Chieftaincy Tribunal, ex parte Adu [1987-88] 1 GLR 118, CA

Takyi v Ghassoub (Ghana) Ltd [1987-88] 2 GLR 452, SC.

APPLICATION in the Court of Appeal for stay of proceedings in the High Court pending the determination of an appeal from a ruling of the High Court to the Court of Appeal.

Amarteifio for the applicant.

Matanawui for the respondent.

LUTTERODT JA. The plaintiff-respondent took out a writ of summons against the defendant-applicant for a number of reliefs. The latter, on being served with the writ and statement of claim, entered conditional appearance and applied subsequently to have both the writ and the claim set aside on the ground that the action was statute-barred. At the hearing, counsel for the applicant raised a preliminary legal point that I do not think, for our purposes, it is necessary to state. Suffice it to say that on stating his objections, the matter was adjourned for the respondent's counsel to answer the points so made and the matter was thereafter adjourned for ruling. The ruling that was delivered subsequently, almost a month after arguments had been heard on the preliminary legal points, dealt not only with the legal points that the applicant had dealt with but also the substantive application itself on the merits. It went against the applicant.

The dissatisfied applicant did not only appeal against the said ruling, but moved the court at a subsequent date to have the proceedings in the substantive matter before the High Court stayed until his appeal had been dealt with. The learned trial judge however turned down the application for stay.

In this motion, therefore, the applicant has repeated the application for stay of proceedings and implored us to exercise our discretion in its favour and to grant the order, which it failed to obtain in the court below. The applicant’s reason is that the appeal has such a very high chance of success that the interest of justice would be met by a grant rather than a refusal. In an attempt to demonstrate that its claim to victory was not a mere figment of imagination or a mere bluff, counsel argued one of the main grounds he is likely to argue when the appeal comes up for hearing. It was that the trial judge, without hearing arguments on both sides, gave the ruling complained of. In support of this argument a record of the proceedings which culminated in the said ruling was tendered. On the part of the respondent, the argument was that the said motion was fully argued on 11 February and 10 March 1992 respectively. The respondent counsel’s argument therefore is that even though this court has the discretion to stay proceedings, the appeal, contrary to the applicant’s claim, has not the slightest chance of success, and since in any case the applicant has not shown any special circumstance warranting a grant of the order sought, the same ought to be refused.

One of the hurdles the applicant’s counsel had to clear was to demonstrate that this court had jurisdiction to grant the order and so naturally, he sought to show under what rule the application was being brought. The argument was that this court derived its jurisdiction from rule 27(1) of the Court of Appeal Rules 1962 (LI 218) as amended by rule 2 of the Court of Appeal (Amendment) Rules 1975 (LI 1002). He contended that the draftsman did make a mistake by omitting the word “or” in the provision under LI 1002 as follows: “an appeal shall not operate as a stay of execution of proceedings”. He argued that if we looked at the previous rule we would come to no other conclusion than that “of” in LI 1002 was an error and should have read “or”. He urged us therefore not to wring our hands in despair and lament that we can do very little about the matter, but to be bold and correct the error by replacing “of” with “or” to enable us give a meaningful effect to the law.

His argument, as I understand him, is that when we have succeeded in effecting these changes we will find that indeed rule 27, as amended, empowers the Court of Appeal, in the exercise of its jurisdiction, not only to grant orders of stay of execution but also order stay of proceedings.

Counsel was not the first to have argued along these lines. When a similar argument was put up in the Supreme Court in the case of Takyi v Ghassoub (Ghana) Ltd [1987-88] 2 GLR 452 the court flatly refused to accede to the request and held that:

“It was a canon of construction of statutes that the legislature must be presumed to intend what they had written, and to have used the desired words and language. One could not presume a word was wrong unless its presence made a whole phrase absurd or meaningless. If the clause read with the word complained of, could be interpreted (even by stretching it) to make some sense, it was not the province of the court to alter the language of the legislature. The court should not assume a mistake in an Act of Parliament. In the instant case, it was trite knowledge that in order to put a judgment into effect certain proceedings were requisite. In land cases, for example, a writ of possession might have to be applied for, prepared and issued ... Since all those would be proceedings under the judgment, i.e. proceedings which had fallen to be taken as a result of the judgment, the provision of rule 27 as amended only meant that none of the proceedings should stop simply because an appeal had been filed. The execution, i.e. the carrying out, of those proceedings should go on or until the court ordered the contrary. Accordingly it was possible to make sense out of the rule without changing 'of' to 'or’.”

The court thus held that the proper construction to be placed on the rule complained of was that “a stay of proceedings for execution


 

 of the judgment” had the same meaning as a stay of execution of proceedings under the judgment and in both the proceedings were proceedings after the judgment, not before the judgment. The matter in respect of which the order for stay was being sought was not a proceeding being taken by the respondent to put the ruling complained of into effect. On the contrary the applicant intended that by this order the learned trial court should suspend further hearing of the action pending before the court until the appeal was heard and determined on its merits.

In the circumstances this court cannot assume jurisdiction under rule 27 (1) of the Court of Appeal Rules, as amended by LI 1002, to grant the order sought, the simple reason being that the rule does not provide for an order for stay of proceedings. Had any such provision been made, then the appellant could have, when the application for stay of proceedings to the court below was refused, repeated the application before this court. This, the applicant would have been entitled to do by virtue of rule 28 of LI 218, which reads as follows:

“Whenever under these rules an application may be made either to the Court below or to the Court it shall be made in the first instance to the court below, but if the court below refuses the application the applicant shall be entitled to have the application determined by the Court.”

It seems to me therefore that this court has no jurisdiction under rule 28 to determine an application for stay of proceedings.

Alternatively, the applicant counsel argued that he was invoking the court’s inherent jurisdiction to grant the order. The question which had plagued my mind is whether this court is invested with any such power? It appears to me, from the case of Republic v Akim Kotoku Chieftaincy Tribunal, ex parte Adu [1987-88] 1 GLR 118 that the court could, in certain circumstances, exercise its inherent jurisdiction for the purpose. When can the court do so?

In the first place I think the court can do so only when the applicant is appealing from the ruling of the court below refusing the application for stay of proceedings. Thus in the Akim Kotoku Chieftaincy Tribunal case the appellant, unlike the present  applicant, was not submitting a fresh application for stay to the Court of Appeal but appealing from the order of refusal. It was under such circumstances when the court was exercising its appellate jurisdiction that the court held that its inherent jurisdiction would be invoked.

There are other factors to be taken into account but I do not think, for our purpose, we need to go into all those. Suffice it to say that the present applicant has not met the first condition. In so far as they are not appealing from the order of refusal but have brought a fresh application, I would think this court cannot invoke its inherent jurisdiction to grant the order sought. I would thus dismiss the application.

ESSIEM JA. I agree.

ADJABENG JA. I also agree.

Application dismissed.

S Kwami Tetteh, Legal Practitioner.

Damages - Quantum - Fatal accidents - Loss of dependency – Award to compensate for pecuniary loss to dependants, not as solatium.

Damages Assessment Appeals from – Appellate court entitled to substitute its award where basis of award not specified.

The plaintiffs, parents of a 13-year old pupil of a Middle School, Form 2, instituted an action for damages for the negligence of the defendants resulting in the death of the pupil in a motor accident. The 1st defendant was the owner and driver of the vehicle insured at the time by the 2nd defendant. It was found as a fact that the deceased was a brilliant pupil with a bright future. The trial judge gave judgment for the plaintiffs and awarded them a global sum of ¢600,000. The plaintiffs appealed against the award on the grounds that the award was woefully inadequate.

Held: (1) The award of damages was at the discretion of the trial judge. Once the basis of the award had been shown, unless the basis is wrong, an appellate court would have no justification for interfering with the award. In the instant case even though the learned trial judge made certain findings upon which he made his award, it was not clear how he arrived at the bulk figure. Even though he did not accept wholly the claim for funeral expenses, he did not specify how much he accepted. Besides he did not accept wholly the extent of services rendered by the deceased to his parents and grandmother but also omitted to quantify how much each dependant had lost, for which he made the global award. In the circumstances the appellate court would substitute its award.

(2) It had long been settled that damages were not awarded as a solatium for the bereaved but as compensation for the pecuniary loss suffered by the dependants of the deceased. If no pecuniary loss was proved, the defendant was entitled to succeed.

(3) It was not necessary that pecuniary advantage should actually have been derived from the deceased before his death. Damages were to be calculated with reference to a reasonable expectation of pecuniary benefit. Blake v Midland Rly (1852) 18 QB 93, Mallett v McMonagle [1969] 2 WLR 767 HL, Barnett v Cohen [1921] 2 KB 461, Taff Vale Rly Co v Jenkins [1913] AC 1 cited.

Cases referred to:

Barnet v Cohen [1921] 2 KB 461, 90 LJKB 1307, [1921] All ER Rep 528, 125 LT 733, 37 TLR 629, 19 LGR 623, 13 Digest (Repl) 173.

Blake v Midland Rly (1852) 18 Q B 93, 21 LJQB 233, 18 LTOS 330, 16 Jur 562, 17 Digest (Reissue) 216.

Mallett v McMonagle [1969] 2 WLR 767, [1970] AC 166, [1969] 2 All ER 178, 113 Sol Jo 207, [1969] 1 Lloyd’s Rep 127, [1969] NI at 105, HL.

Taff Vale Rly Co v Jenkins [1913] AC 1, 82 LJKB 49, 107 LT 564, 29 TLR 19, 57 SJ 27.

APPEAL against the award of damages in the High Court.

Cab-Addae for the appellants.

AMPIAH JA. The plaintiffs in this action were the parents of Master Tawiah Anaman who was killed in a motor accident. The plaintiffs, as administrator and administratrix respectively of the estate of the deceased, took action against the defendants for damages for negligence resulting in the death of their son.

The 1st defendant was the owner-driver of vehicle No GN 3588 which was involved in the accident, and which had been insured at the time by the 2nd defendant.

At the end of the trial, the learned trial judge gave judgment for the plaintiffs and awarded them a total of six hundred thousand cedis with costs of sixty thousand cedis against the defendants.

The defendants did not appeal against the judgment. The plaintiffs however have appealed against the judgment on the damages awarded.

Counsel for the plaintiffs contended that “having regard to the overwhelming evidence as to the loss suffered by the appellants, as a result of the death of Master Tawiah Anaman, and the excellent performance of the deceased at school, the damages of ¢600,000 awarded the appellants were woefully inadequate”.

The plaintiffs (hereinafter referred to as ‘the appellants’) did not claim any special damages. They however claimed for (i) loss of service to them and the grandmother, (ii) loss of prospective income and (iii) burial and funeral expenses.

The learned trial judge found that the deceased rendered some services to his parents and also acted as a house help to his aged grandmother. He however did not accept wholly the amount for services rendered; he did not state how much of the services he accepted and how much he would award the parents and the grandmother for the loss of such services. The learned trial judge also accepted that some funeral expenses were incurred but not to the extent claimed.

As stated earlier the damages claimed by the plaintiffs were general although specific amounts were mentioned in both the statement of claim and the evidence, for certain items. The learned trial judge awarded a bulk sum of ¢600,000 as damages. This, appellants regard as woefully inadequate.

The award of damages is at the discretion of the trial judge. Once a basis has been shown as to how the damages have been arrived at, unless the basis is wrong, an appellate court would have no justification for interfering with the award. In the instant case even though the learned trial judge made certain findings upon which he made his award, it is not clear how he arrived at the bulk figure.

Section 16(1) of the Civil Liability Act 1963 (Act 176) provides:

“Where the death of a person is caused by the fault of another such as would have entitled the party injured, but for his death, to maintain an action and recover damages in respect thereof, the person who would have been so liable shall be liable to an action for damages for the benefit of the dependants of the deceased.”

Section 18 of the Act provides that:

“The damages under section 16 of the Act shall be -

(a) the total of such amounts (if any) as the court considers proportionate to the loss resulting from the death to each of the dependants, respectively, for whom or on whose behalf the action is brought...”

Sub-section 5 of section 18 of the Act provides further that:

“(5) In addition, damages may be awarded in respect of expenses actually incurred by the deceased before his death and in respect of funeral and other expenses incurred by the dependants or the personal representative by reason of the wrongful act.”

The burial and funeral expenses claimed were ¢30,000. Even though the judge did not accept wholly the amount, he did not say how much of this he accepted. I would award the plaintiffs ¢29,000 for burial and funeral expenses.

The late Tawiah Anaman was a 13-year old Form 2 pupil of the AME Zion Middle School, Aboom, Cape Coast. The evidence shows that he was a brilliant pupil with a bright future. The judge found that he rendered services to his parents and grandmother who were all dependants. The judge did not however accept wholly the extent of the said service; he did not quantify how much each of the dependants had lost by the death of the deceased, though in the end he awarded a lump sum.

It has, however, for long been settled that damages are not awarded as a solatium for the bereaved but as compensation for the pecuniary loss suffered by the dependants of the deceased as a consequence of his death. See Blake v Midland Rly [1852] 18 Q B 93; Mallett v McMonagle [1969] 2 WLR 767, HL. If no pecuniary loss is proved, therefore, the defendant is entitled to succeed - Barnet v Cohen [1921] 2 KB 461; but it is not necessary that pecuniary advantage should actually have been derived from the deceased before his death. Damages are to be calculated in reference to a reasonable expectation of pecuniary benefit. So, in Taff Vale Rly Co v Jenkins [1913)] AC 1 where the deceased was an intelligent girl of 16 who had almost completed her apprenticeship as a dress maker, a jury's verdict in favour of the respondent was sustained notwithstanding that she had not as yet earned anything and had so far conferred upon them no actual pecuniary benefit. Contrast, Barnett v Cohen (supra), where the claim failed because the deceased was just 4 years old.

In the instant case actual pecuniary benefit was proved. Thus, given a life purchase of 12 years and taking an average loss of ¢1,500 a month, I would award the father ¢216,000. Taking an average loss of ¢4,000 a month to the mother, I would award her ¢576,000.

The grandmother died in 1985. The 2nd plaintiff spent on her in lieu of the deceased's services, for only 2 years. I would award the estate ¢9,600.

In conclusion, I would allow the appeal and vary the damages awarded by substituting ¢830,600 total damages.

ADJABENG JA. I agree.

LUTTERODT JA. I also agree.

Appeal allowed.

Justin Amenuvor, Legal practitioner.

 
 

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