[2007]DLCA6972 • March 9, 2007 • Court of Appeal
STARCOM BROADCASTING SERVICES vs. LA CHAUMIERE RESTAURANT & 2 ORS.
The Respondents extended a short-term credit facility to Allied Trades and Finance (ATF), secured by an agreement over property owned by the 2nd Codefendant/Appellant. ATF defaulted, prompting the Respondents to attempt realization of the collateral. The appellants commenced suit alleging forgery of the deed securing the loan. The Respondents counterclaimed for declaration of validity of the assignment. The High Court granted summary judgment for Respondents, which was reversed by the Court of Appeal and remitted for full hearing. Subsequent procedural motions and applications ensued regarding rent collection and joinder of parties.
read moreKANYOKE J.A: The facts of this case are as follows: The Plaintiffs/Respondents (herein after referred to as the Respondents) extended a short term credit facility to a company named Messers Allied Trades and Finance (ATF) which was secured by an Agreement of the property known as plot No. 64A Airport Residential Area, Accra, owned by the 2nd co-defendant/Appellant. A.T.F defaulted on the loan and the Respondents attempted to realize the collateral whereupon the co-defendants/Appellants (herein thereafter referred to as the appellants). Commenced suit No. L 114/02 in the High Court against the Respondents and their Managing Director, Frank Okyere for a declaration that the Deed of Assignment by which the loan was secured was a forgery and therefore invalid. The Respondents counterclaimed for inter alia, "(a) a declaration that the Assignment between 2nd defendant acting on behalf of the plaintiff and the 1st defendant was validly executed and is legally binding on the parties theret...