[2007]DLCA6708 Login to Read Full Case <span style="font-size: 18px !important;"><p class="MsoNormal" align="center" style="text-align:center;line-height:115%"><b><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua","serif";color:#00B0F0">DANIEL SACKEY QUARCOOPOME<o:p></o:p></span></b></p><p class="MsoNormal" align="center" style="text-align:center;line-height:115%"><b><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua","serif";color:#00B0F0">vs.<o:p></o:p></span></b></p><p class="MsoNormal" align="center" style="text-align:center;line-height:115%"><b><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua","serif";color:#00B0F0">SANYO ELECTRIC TRADING CO. LTD & ANOR.<o:p></o:p></span></b></p><p class="MsoNormal" align="center" style="text-align:center;line-height:115%"><span style="font-size:10.0pt;line-height:115%;font-family:"Book Antiqua","serif"">[COURT OF APPEAL, ACCRA]<o:p></o:p></span></p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt; padding:0in 0in 1.0pt 0in"> <p class="MsoNormal" align="center" style="text-align:center;line-height:115%; border:none;mso-border-bottom-alt:solid windowtext 1.5pt;padding:0in; mso-padding-alt:0in 0in 1.0pt 0in"><span style="font-size:10.0pt;line-height: 115%;font-family:"Book Antiqua","serif"">SUIT NO. HI/77/06 DATE: 1<sup>ST</sup> MARCH 2007<o:p></o:p></span></p> </div><p class="MsoNormal" style="text-align:justify;line-height:115%"><b><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua","serif"">COUNSEL:<o:p></o:p></span></b></p><p class="MsoNormal" style="text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">MR. ROBERT TAY FOR THE PLAINTIFF/RESPONDENT. <o:p></o:p></span></p><p class="MsoNormal" style="text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">MR. EKOW AWOONOR FOR THE 1ST DEFENDANT/APPELLANT. <o:p></o:p></span></p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt; padding:0in 0in 1.0pt 0in"> <p class="MsoNormal" style="text-align:justify;line-height:115%;border:none; mso-border-bottom-alt:solid windowtext 1.5pt;padding:0in;mso-padding-alt:0in 0in 1.0pt 0in"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">MR. YUONI KULENDI FOR THE 2ND DEFENDANT/APPELLANT.<o:p></o:p></span></p> </div><p class="MsoNormal" style="text-align:justify;line-height:115%"><b><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua","serif"">CORAM: <o:p></o:p></span></b></p><p class="MsoNormal" style="text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">AKAMBA J. A. PRESIDING, KANYOKE J. A., MARFUL-SAU J. A. <o:p></o:p></span></p><div style="mso-element:para-border-div;border-top:solid windowtext 1.5pt; border-left:none;border-bottom:solid windowtext 1.5pt;border-right:none; padding:1.0pt 0in 1.0pt 0in"> <p class="MsoNormal" align="center" style="text-align:center;line-height:115%; border:none;mso-border-top-alt:solid windowtext 1.5pt;mso-border-bottom-alt: solid windowtext 1.5pt;padding:0in;mso-padding-alt:1.0pt 0in 1.0pt 0in"><b><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua","serif"">JUDGMENT<o:p></o:p></span></b></p> </div><p class="MsoNormal" style="text-align:justify;line-height:115%"><b><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua","serif"">MARFUL-SAU J.A. <o:p></o:p></span></b></p><p class="MsoNormal" style="text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">This appeal is taken from the judgment of the Accra Fast Track Court dated the 25th October 2004. The brief facts of this case are that, the 1st Defendant/Appellant Company herein after referred simply to as 1st Defendant is a company incorporated under the laws of Japan and a Shareholder of the 2nd Defendant/Appellant Company, which is a company registered under the laws of Ghana. The Plaintiff/Respondent herein called the Plaintiff alleged that he was appointed by the 1st Defendant to the Board of the 2nd Defendant as a Director in 1974. Indeed the Plaintiff had initially served on the Board of the 2nd Defendant from 1965 to 1972. The Plaintiff claims that on his appointment to the 2nd Defendant board in 1974, he served the 2nd Defendant till year 2001. The Plaintiff alleging that he was not paid for services he rendered as a Director of the 2nd Defendant company sued the 1st Defendant and 2nd Defendant jointly and severally as follows: — <o:p></o:p></span></p><p class="MsoNormal" style="margin-left:.5in;text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">(1) Damages for breach of an oral contract made in or about June/July 1974, appointing the Plaintiff director to serve on the Board of Ghana Sanyo Company Ltd. and witnessed in writing by a letter dated 4th October 1974 under and by virtue of which the Plaintiff has worked and rendered service to the 1st Defendant and 2nd Defendant company as director, from 1st October 1974 up to 23rd February 2001, for which the Defendants have failed and or refused to pay the Plaintiff reasonable Directors fees and lump sum remuneration as agreed. Alternatively <o:p></o:p></span></p><p class="MsoNormal" style="margin-left:.5in;text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">(2) Adequate remuneration and compensation for services rendered to the Defendants from 1974 to 2001 as Director on the Board of the 2nd Defendant company. <o:p></o:p></span></p><p class="MsoNormal" style="margin-left:.5in;text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">(3) Interest on the said amount at the prevailing Bank rate. <o:p></o:p></span></p><p class="MsoNormal" style="text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">At the end of the trial the Court below found that the Plaintiff could not succeed on his main claim for damages for breach of contract, to borrow the trial courts own words due to the hazy and unclear terms of the oral agreement. Consequently the trial court proceeded to consider the alternative claim of the Plaintiff for Quantum Meruit and awarded an amount of ¢350,000,000.00 to the Plaintiff for dedicated and committed service to the Defendants. <o:p></o:p></span></p><p class="MsoNormal" style="text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">It is against this judgment or award that the 1st and 2nd Defendants companies have mounted this Appeal. The 1st Defendant filed its Notice of Appeal on the 10th November 2004 by which four grounds of Appeal were formulated. This is at page 215 of the record of appeal. On the 7th November 2005 the 1st Defendant filed Additional Grounds of Appeal namely: <o:p></o:p></span></p><p class="MsoNormal" style="margin-left:.5in;text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">1. That the Court below erred in holding that the Plaintiff was entitled to recover remuneration as a director of the 2nd Defendant company on a Quantum Meruit. <o:p></o:p></span></p><p class="MsoNormal" style="margin-left:.5in;text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">2. That the Court erred when awarding to the Plaintiff the sum of ¢350,000,000.00 on the basis of Quantum Meruit for services rendered as a director by taking into account the years that the directors of the company declined to pay directors remuneration due to financial constraints in the company. <o:p></o:p></span></p><p class="MsoNormal" style="text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">The 2nd Defendant Company on the other hand filed its Notice of Appeal on the 16th November 2004 founded on twelve grounds, out of which five were argued in this appeal. It is on record that on the 21st of March 2006, the Plaintiff also filed a notice to contend that the decision of the trial court be varied pursuant to leave granted him by this Court on 20th of March 2006. The Plaintiff whose said Notice contained three grounds contended that the decision of the trial court be varied as follows:— <o:p></o:p></span></p><p class="MsoNormal" style="margin-left:.5in;text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">1. By increasing or ordering an increase in the award made by the learned trial Judge by adding the compensation for the years that the Plaintiff participated in the meetings that took the decisions to suspend payment of Directors fees when the company was not doing well. Alternatively <o:p></o:p></span></p><p class="MsoNormal" style="margin-left:.5in;text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">2. By increasing or ordering an increase in the award made by the learned trial Judge by adding to the award the compensation for the years that the directors declined not to pay directors remuneration due to financial constraints on the company. <o:p></o:p></span></p><p class="MsoNormal" style="text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">In this appeal Counsel for the 1st Defendant argued the additional grounds of Appeal filed on the 7th November 2005 and also ground (ii) of the Notice of Appeal. As I have indicated earlier on, Counsel for the 2nd Defendant argued five grounds out of the twelve grounds filed in his Notice of Appeal. <o:p></o:p></span></p><p class="MsoNormal" style="text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">The fundamental issue to be resolved in this appeal, after a careful examination of the record of appeal and the submissions filed by learned Counsels for the parties herein can be stated thus:— <o:p></o:p></span></p><p class="MsoNormal" style="margin-left:.5in;text-align:justify;line-height:115%"><span style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua","serif"">(1)