ADJEWOCO LIMITED vs. GHANA COMMERCIAL BANK [1980]DLHC2075

Date	1980-12-02
Suit No.
Citation No.	[1980]DLHC2075

CECILIA KORANTENG-ADDOW J.

TSATSU TSIKATA FOR THE DEFENDANTS-APPLICANTS.

MICHAEL ATADIKA FOR THE PLAINTIFFS-RESPONDENTS

[1980]DLHC2075
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													<main id="main" class="content" style="min-height: 60rem" >ADJEWOCO LIMITED <o:p></o:p>vs. <o:p></o:p>GHANA COMMERCIAL BANK <o:p></o:p>[HIGH COURT, ACCRA]<o:p></o:p>[1987-88] GLR 847<o:p></o:p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt;
padding:0in 0in 1.0pt 0in">

DATE:
2 DECEMBER
1980<o:p></o:p>

</div>COUNSEL:&nbsp;&nbsp; <o:p></o:p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt;
padding:0in 0in 0in 0in">

TSATSU TSIKATA FOR THE DEFENDANTS-APPLICANTS. <o:p></o:p>

MICHAEL ATADIKA FOR THE PLAINTIFFS-RESPONDENTS<o:p></o:p>

</div>CORAM:
<o:p></o:p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt;
padding:0in 0in 0in 0in">

CECILIA KORANTENG-ADDOW J.<o:p></o:p>

</div><o:p>&nbsp;</o:p>JUDGMENT OF KORANTENG-ADDOW J.<o:p></o:p>This is a
claim brought on a specially indorsed writ for the sum of ¢43,455.53 plus
interest at the current bank rate calculated from 13 May 1980 until “date of
final payment.” The writ was served on the defendants and they entered appearance
through their solicitor. On 9 October 1980, the plaintiffs took out a summons
for judgment under Order 14, r. 1 of the High Court (Civil Procedure) Rules,
1954 (LN 140A). The summons was supported by an affidavit sworn to by the
senior law clerk in the employment of the plaintiffs, and who deposed in the
supporting affidavit that he was authorised to swear to the facts stated
therein. He further deposed that in his belief the defendants have no defence
to the action. He verified the facts upon which the claim is based by reference
to the writ of summons and statement of claim. By the writ of summons, the
plaintiffs’ claim is:<o:p></o:p><p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-bottom:5.0pt;
margin-left:.5in;text-align:justify;mso-pagination:none;border:none;mso-padding-alt:
31.0pt 31.0pt 31.0pt 31.0pt;mso-border-shadow:yes">“. . .
for the sum of ¢43,455.53 being principal and interest as at the close of
business on 13 May 1980, representing the balance of bank facilities granted to
the defendants at their own request as per the attached certified copy of the
statement of account which balance is still due and owing despite repeated
demands for due settlement.”<o:p></o:p><o:p>&nbsp;</o:p>In
paragraph 3 of the statement of claim, the plaintiffs averred:<o:p></o:p><p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-bottom:5.0pt;
margin-left:.5in;text-align:justify;mso-pagination:none;border:none;mso-padding-alt:
31.0pt 31.0pt 31.0pt 31.0pt;mso-border-shadow:yes">“As a
result of the said approach by the defendants, the plaintiffs acceded to the
request of the defendants and granted them banking facilities in the normal
course of business and on the bank’s usual terms attaching to the granting of
such facilities.”<o:p></o:p><p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-bottom:5.0pt;
margin-left:.5in;text-align:justify;mso-pagination:none;border:none;mso-padding-alt:
31.0pt 31.0pt 31.0pt 31.0pt;mso-border-shadow:yes">In
paragraph 4 it is pleaded that as at 13 May 1980, the defendants were indebted
to them in the said sum “which they had failed to repay in violation of the
terms upon which the facilities were granted and despite repeated demands and
requests.”<o:p></o:p><o:p>&nbsp;</o:p>The
defendants did not file any defence to the action nor did they file an
affidavit in opposition to the summons. They opposed the summons on legal
grounds. Mr. Tsikata submitted that the application is not properly before the
court because the supporting affidavit was sworn to by a legal clerk who does
not disclose his source of information. He contends that neither the statement
of claim nor the affidavit gives the basis of the debt nor the terms which the
defendants have violated. Relying on Accra Furniture and Rubber Foam Co., Ltd.
v. Indart S.P./A of Rome [1973] 2 G.L.R. 289 and Wilson v. Smith [1980] G.L.R.
152, C.A. he submitted that summary judgment cannot be obtained in such a case.<o:p></o:p><o:p>&nbsp;</o:p>Mr.
Atadika replied that the person who swore to the affidavit is a senior clerk
who is in the employment of the plaintiffs so he is seised with the facts of
the claim, and the plaintiffs plead that the amount they claim is due and
owing. In the absence of any defence or affidavit challenging or contradicting
these averments and depositions, the plaintiffs must be entitled to judgment
for the sum due and owing, since no cause is shown for granting the defendants
leave to defend.<o:p></o:p><o:p>&nbsp;</o:p>The cases
referred to me by Mr. Tsikata were decisions based on the old rules of Order 14
of LN 140A. In Wilson v. Smith (supra) Apaloo C.J. expatiated upon the old
rule. He said at p. 156:<o:p></o:p><p class="MsoNormal" style="margin-top:0in;margin-right:0in;margin-bottom:5.0pt;
margin-left:.5in;text-align:justify;mso-pagination:none;border:none;mso-padding-alt:
31.0pt 31.0pt 31.0pt 31.0pt;mso-border-shadow:yes">