[2021]DLCA10809 • June 10, 2021 • Court of Appeal
PHYTO-RIKER (GIHOC) PHARMACEUTICALS LTD vs. DUNCAN ALANGEA ANDJERVIS DANQUAH
The appellant, a former employee of the respondent company, was allocated an executive bungalow as duty post accommodation. Upon resignation, the appellant sought to purchase the bungalow from the company through the Managing Director (2nd defendant). The Managing Director purportedly offered the property at a discounted price and the appellant made payments. However, the company denied authorizing the sale, stating the Managing Director lacked authority to dispose of company assets without board approval. The appellant refused to vacate the property after resignation, leading to the suit for eviction and rent.
read moreNOVISI ARYENE JA Section 139 (a) of the Companies Act 1963 (Act 179) provides, a) The Company shall not incur civil liability to any person if that person had actual knowledge at the time of the transaction in question that the general meeting, board of directors, as the case may be, had no power to act in the matter or had acted in an irregular manner or if having regard to his position with or relationship to, the company, he ought to have known of the absence of power or of the irregularity; Section 140 (1) provides “Except as otherwise provided in section 139 of this Code, the acts of any officer or agent of a company shall not be deemed to be the acts of the company unless, a) The company acting through its Members in General Meeting, board of directors or managing director shall have expressly or impliedly authorized such officer or agent to act in the matter, or b) The company, acting as aforesaid shall have represented the officer or agent as having its authority to act.....