F. N. OPPONG & CO. LTD. vs. SETHI MANUFACTURING CO. LTD. & 2 ORS [2016]DLCA4742

Date	2016-07-19
Suit No.	SUIT NO: H3/49/2016
Citation No.	[2016]DLCA4742

AYEBI J.A. (PRESIDING)

TORKORNOO (MRS) J. A.

DOMAKYAAREH (MRS) J

E. N. POKU FOR PLAINTIFFS/APPLICANT

JAMES MARSHALL BELIEB FOR DEFENDANT/ RESPONDENT

[2016]DLCA4742
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													<main id="main" class="content" style="min-height: 60rem" >F. N. OPPONG &amp; CO. LTD. <o:p></o:p>(PLAINTIFF /APPLICANT)<o:p></o:p>vs.<o:p></o:p>SETHI MANUFACTURING CO. LTD. &amp; 2 ORS&nbsp; <o:p></o:p>(DEFENDANTS /RESPONDENTS)<o:p></o:p>[COURT OF APPEAL, KUMASI]<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">

SUIT NO: H3/49/2016&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;&nbsp;DATE: 19TH JULY, 2016<o:p></o:p>

</div>COUNSEL:<o:p></o:p><span style="font-size:12.0pt;
line-height:115%;font-family:&quot;Book Antiqua&quot;,&quot;serif&quot;;mso-fareast-font-family:
Calibri;mso-fareast-theme-font:minor-latin;mso-ansi-language:EN-US;mso-fareast-language:
EN-US">E. N. POKU FOR PLAINTIFFS/APPLICANT<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">

<span style="font-size:12.0pt;line-height:115%;font-family:&quot;Book Antiqua&quot;,&quot;serif&quot;;
mso-fareast-font-family:Calibri;mso-fareast-theme-font:minor-latin;mso-ansi-language:
EN-US;mso-fareast-language:EN-US">JAMES MARSHALL BELIEB FOR DEFENDANT/
RESPONDENT <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;
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</div><o:p>&nbsp;</o:p><div style="mso-element:para-border-div;border:none;border-bottom:solid windowtext 1.5pt;
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<p class="MsoNormal" align="center" style="margin-bottom:0in;margin-bottom:.0001pt;
text-align:center;border:none;mso-border-bottom-alt:solid windowtext 1.5pt;
padding:0in;mso-padding-alt:0in 0in 1.0pt 0in">RULING<o:p></o:p>

</div>TORKORNOO
(MRS), J.A.<o:p></o:p>The
Plaintiff/Appellant/Applicant (hereinafter referred to as Applicant), commenced
an action in the High Court on 8th January 2015 alleging in its
statement of claim that in March 2013, the 1st Respondent had
expressed interest in buying the Applicant’s interest in its two plots of land
situate in Asokwa. The Applicant believed its interest to be subsisting until
May 2060. However, during the negotiations, the 1st Respondent
managed to produce a search report purporting to have come from the 3rd
Respondent which indicated that the Applicant’s lease had already expired in
2011. <o:p></o:p>Then
acting with shareholders of the Applicant, the 1st Respondent signed
a Memorandum of Understanding prepared by the 1st Respondent to the
effect that, as part of the amount agreed between one Mr. Nigel Egyir Yaw and Mr.
C S Sethi towards the Applicant’s property, the 1st Respondent would
pay GH¢200,000 to the 1st Respondent’s own lawyer and 1 million Ghana
cedis the 2nd Respondent on behalf of the Applicant, for the renewal
of the lease. <o:p></o:p>According
to the Applicant’s Statement of Claim, the Managing Director of the Applicant,
sought confirmation from the Applicant’s lawyers regarding the period of the
lease and received confirmation that the representations from the 1st
Respondent that it expired in 2011 was untrue. Acting on behalf of the Applicant
and in disagreement with the MOU signed by the shareholders, the Managing Director
wrote to the Respondents informing them of the misrepresentations of the 1st
and 3rd Respondents and demanding that the money ostensibly paid by
1st Respondent to its lawyers and the 2nd Respondent on
behalf of Applicant should be returned to the 1st Respondent. <o:p></o:p>It
was the Plaintiff’s case that the MOU was not the act of the Applicant, and
even though the Applicant had not entered into any signed contract with the 1st
Respondent regarding the lease, the 1st Respondent forcibly entered
the Applicant’s premises, started to develop the property and causing damage to
some of its property. It sought the following reliefs:<o:p></o:p><span lang="EN-GB" style="font-size:12.0pt;line-height:115%;font-family:&quot;Book Antiqua&quot;,&quot;serif&quot;;
mso-fareast-font-family:&quot;Book Antiqua&quot;;mso-bidi-font-family:&quot;Book Antiqua&quot;">a.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
A declaration that there
is no binding contract between the Plaintiff and the 1st Defendant’s
sale of plot Nos. 16 and 20 Block ‘A’ Asokwa Industrial Area, Kumasi.<o:p></o:p>