[2014]DLCA4788December 10, 2014Court of Appeal

ASHDEN TRADING PTY LTD vs. SAMARTEX TIMBER & PLYWOOD CO. LTD

The Plaintiff/Respondent contracted with the Defendant/Appellant to purchase five containers of plywood (Chenchen and Ceiba) between July and December 2009, specifying quality grading B/BB and additional requirements. The Plaintiff alleged the goods delivered were defective, not of merchantable quality, and that the Defendant failed to treat the wood with FOSSECT 88 insecticide as expressly undertaken, resulting in borer infestation and mould, rendering the goods unfit for purpose. The Plaintiff sought special damages and interest for losses incurred. The Defendant denied breach, asserting compliance with contract and certification by the Timber Industry Development Division (TIDD).

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BARBARA ACKAH-YENSU, JA This is an appeal against the judgment of the Commercial Division of the High Court sitting in Sekondi and dated 13th March, 2013. A summary of the Plaintiff/Respondent’s case is that pursuant to a contract between the Parties, the Plaintiff/Respondent between July and December 2009, purchased five (5) containers load of plywood (Chenchen and Ceiba) from the Defendant/Appellant at a total cost of US$148,801.48 (AUD 183,705.55). Plaintiff/Respondent who required the goods for sale to the construction industry specifically indicated the quality grading of the goods to be B/BB and better grading. They also provided specific additional requirements and/or specifications for each order. It was the further case of the Plaintiff/Respondent that it was an implied condition of the said contract and the Defendant/Appellant thereby warranted that the goods would be of merchantable quality. In breach of the contract and the said condition and warranty, the goods deli.....