[2010]DLHC7854 Login to Read Full Case <span style="font-size: 18px !important;"><p class="MsoNoSpacing" align="center" style="text-align:center;line-height:115%"><b><span lang="EN-US" style="font-size:12.0pt; line-height:115%;font-family:"Book Antiqua",serif;color:#00B0F0;mso-no-proof: yes">LA PALM BEACH LIMITED<o:p></o:p></span></b></p><p class="MsoNormal" align="center" style="margin-bottom:0cm;margin-bottom:.0001pt; text-align:center"><b><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-fareast-font-family:"Book Antiqua";mso-bidi-font-family:"Book Antiqua"; color:#00B0F0">vs.<o:p></o:p></span></b></p><p class="MsoNoSpacing" align="center" style="margin-bottom:6.0pt;text-align:center; line-height:115%"><b><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; color:#00B0F0;mso-no-proof:yes">DOREEN M. THOMAS<o:p></o:p></span></b></p><p class="MsoNormal" align="center" style="margin-bottom:0cm;margin-bottom:.0001pt; text-align:center"><span lang="EN-US" style="font-size:10.0pt;line-height:115%; font-family:"Book Antiqua",serif">[HIGH COURT, ACCRA]<o:p></o:p></span></p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt; padding:0cm 0cm 1.0pt 0cm"> <p class="MsoNoSpacing" align="center" style="text-align:center;line-height:115%; border:none;mso-border-bottom-alt:solid windowtext 1.5pt;padding:0cm; mso-padding-alt:0cm 0cm 1.0pt 0cm"><b><span lang="EN-US" style="font-size:10.0pt;line-height:115%;font-family:"Book Antiqua",serif">BL 129/03 </span></b><span lang="EN-US" style="font-size:10.0pt;line-height:115%;font-family:"Book Antiqua",serif"> DATE: 16<sup>TH</sup> FEBRUARY, 2010<b><o:p></o:p></b></span></p> </div><p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt"><b><span lang="EN-US" style="font-size:12.0pt; line-height:115%;font-family:"Book Antiqua",serif;mso-fareast-font-family:"Book Antiqua"; mso-bidi-font-family:"Book Antiqua"">CORAM:<o:p></o:p></span></b></p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt; padding:0cm 0cm 1.0pt 0cm"> <p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt;border:none; mso-border-bottom-alt:solid windowtext 1.5pt;padding:0cm;mso-padding-alt:0cm 0cm 1.0pt 0cm"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif">HIS LORDSHIP E. K. AYEBI, SITTING AS AN ADDITIONAL HIGH COURT JUDGE<o:p></o:p></span></p> </div><p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt"><b><span lang="EN-US" style="font-size:12.0pt; line-height:115%;font-family:"Book Antiqua",serif"><o:p> </o:p></span></b></p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt; padding:0cm 0cm 1.0pt 0cm"> <p class="MsoNormal" align="center" style="margin-bottom:0cm;margin-bottom:.0001pt; text-align:center;border:none;mso-border-bottom-alt:solid windowtext 1.5pt; padding:0cm;mso-padding-alt:0cm 0cm 1.0pt 0cm"><b><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family: "Book Antiqua",serif">JUDGMENT <o:p></o:p></span></b></p> </div><p class="MsoNormalCxSpMiddle" style="text-align:justify"><b><u><span lang="EN-US" style="font-size:12.0pt;line-height:115%; font-family:"Book Antiqua",serif;mso-bidi-font-family:Arial">AYEBI J.A.<o:p></o:p></span></u></b></p><p class="MsoNormalCxSpMiddle" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-bidi-font-family:Arial">The plaintiff is engaged in the hotel business. Defendant trading under the name and style of EX-EL SALON is in the business of hairdressing. In July 2001, plaintiff leased a space in its shopping mall within the hotel to defendant to carry on her business. The duration of the lease was for two (2) years at an annual rent of the cedi equivalent of $12,296.00.<o:p></o:p></span></p><p class="MsoNormalCxSpMiddle" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-bidi-font-family:Arial"><o:p> </o:p></span></p><p class="MsoNormalCxSpMiddle" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-bidi-font-family:Arial">Defendant duly took possession of the shop and carried out her business but reneged on the covenant to pay rent despite repeated demands. As at the end of the lease, defendant was in arrears of rent in the sum of GH¢17,411.02 (¢174,110,189.00). In addition to asking for a reduction in the rent, defendant requested to pay the arrears by installments. Plaintiff rejected both proposals. Without paying the rent owing, defendant vacated the shop.<o:p></o:p></span></p><p class="MsoNormalCxSpMiddle" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-bidi-font-family:Arial"><o:p> </o:p></span></p><p class="MsoNormalCxSpLast" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-bidi-font-family:Arial">Consequently, plaintiff sued the defendant for:<o:p></o:p></span></p><p class="MsoListParagraphCxSpFirst" style="text-align:justify;text-indent:-18.0pt; mso-list:l0 level1 lfo1"><!--[if !supportLists]--><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-fareast-font-family:"Book Antiqua";mso-bidi-font-family:"Book Antiqua"">a.<span style="font-variant-numeric: normal; font-variant-east-asian: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: "Times New Roman";"> </span></span><!--[endif]--><span lang="EN-US" style="font-size:12.0pt; line-height:115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:Arial">Payment of the sum of GH¢17,411.02 being rent arrears from October 2001 to September 2003.<o:p></o:p></span></p><p class="MsoListParagraphCxSpLast" style="text-align:justify;text-indent:-18.0pt; mso-list:l0 level1 lfo1"><!--[if !supportLists]--><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-fareast-font-family:"Book Antiqua";mso-bidi-font-family:"Book Antiqua"">b.<span style="font-variant-numeric: normal; font-variant-east-asian: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: "Times New Roman";"> </span></span><!--[endif]--><span lang="EN-US" style="font-size:12.0pt; line-height:115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:Arial">Mesne profits<o:p></o:p></span></p><p class="MsoNormalCxSpFirst" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-bidi-font-family:Arial">Although defendant indeed failed to pay the rent as agreed in the lease, she denied any breach. According to her, prior to the execution of the lease, the plaintiff represented and warranted that it will establish a state of the art and western European style shopping mall containing various facilities such as shops, boutiques, casinos, exclusive cosmetics, perfumes and jewellery shops and restaurants. The said mall according to the defendant was to generate foot traffic which would constitute the core customer base for the salon.<o:p></o:p></span></p><p class="MsoNormalCxSpMiddle" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-bidi-font-family:Arial"><o:p> </o:p></span></p><p class="MsoNormalCxSpMiddle" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-bidi-font-family:Arial">Defendant asserts that the said representations and warranties induced her to enter into the lease and made capital and recurrent expenditures in establishing the salon. But after setting up the salon according to the specifications dictated by the plaintiff, the plaintiff indefinitely suspended the shopping mall project.<o:p></o:p></span></p><p class="MsoNormalCxSpMiddle" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-bidi-font-family:Arial"><o:p> </o:p></span></p><p class="MsoNormalCxSpLast" style="text-align:justify"><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-bidi-font-family:Arial">It is the case of the defendant that by the failure of the plaintiff to establish the shopping mall, the plaintiff has renegade on its representations and warranties. As such she could not make the expected money to pay the rent. Defendant thus accused the plaintiff of failure to give consideration for the lease agreement. She therefore counter-claimed for:<o:p></o:p></span></p><p class="MsoListParagraphCxSpFirst" style="text-align:justify;text-indent:-18.0pt; mso-list:l3 level1 lfo2"><!--[if !supportLists]--><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-fareast-font-family:"Book Antiqua";mso-bidi-font-family:"Book Antiqua"">a.<span style="font-variant-numeric: normal; font-variant-east-asian: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: "Times New Roman";"> </span></span><!--[endif]--><span lang="EN-US" style="font-size:12.0pt; line-height:115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:Arial">The lease agreement between the defendant and plaintiff be set aside for failure of consideration or in the alternative be declared null and void.<o:p></o:p></span></p><p class="MsoListParagraphCxSpMiddle" style="text-align:justify;text-indent:-18.0pt; mso-list:l3 level1 lfo2"><!--[if !supportLists]--><span lang="EN-US" style="font-size:12.0pt;line-height:115%;font-family:"Book Antiqua",serif; mso-fareast-font-family:"Book Antiqua";mso-bidi-font-family:"Book Antiqua"">b.<span style="font-variant-numeric: normal; font-variant-east-asian: normal; font-stretch: normal; font-size: 7pt; line-height: normal; font-family: "Times New Roman";"> </span></span><!--[endif]--><span lang="EN-US" style="font-size:12.0pt; line-height:115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:Arial">The return of the sum of GH¢1,000.00 being rent received.<o:p></o:p></span></p><p class="MsoListParagraphCxSpMiddle" style="text-align:justify;text-indent:-18.0pt; mso-list:l3 level1 lfo2"><!--[if