<p class="mb-5" id="contentDlCitation" hidden>[2016]DLHC17225</p> <div class="restriction-wrapper"> <div class="container-lg"> <div class="row"> <div class="col-md-12 restricted-content"> <div class="restricted-content-img-wrapper"> <div class="lock-icon bounce-7"> <img class="" src="https://www.dennislawgh.com/dl-assets/dl-images/lock-content.png" alt="Subscription based content"> </div> </div> <a href="https://www.dennislawgh.com/login" class="btn btn-primary btn-lg" style="font-family: 'open sans'; text-transform: capitalize; border-radius: 8px"> Login to Read Full Case </a> </div> </div> </div> </div> <main id="main" class="content" style="min-height: 60rem" ><span style="font-size: 18px !important;"><p class="MsoNormal" align="center" style="margin-top:0cm;margin-right:-2.5pt; margin-bottom:0cm;margin-left:0cm;margin-bottom:.0001pt;text-align:center; line-height:normal;mso-pagination:none;text-autospace:none"><b><span style="font-size:12.0pt;font-family: "Book Antiqua",serif;mso-fareast-font-family:"Book Antiqua";mso-bidi-font-family: "Book Antiqua";color:#00B0F0">ELAND INTERNATIONAL COMPANY LTD</span></b><i><span style="font-size:10.0pt;mso-bidi-font-size: 12.0pt;font-family:"Book Antiqua",serif;mso-fareast-font-family:"Book Antiqua"; mso-bidi-font-family:"Book Antiqua""><o:p></o:p></span></i></p><p class="MsoNormal" align="center" style="margin-top:0cm;margin-right:-2.5pt; margin-bottom:0cm;margin-left:0cm;margin-bottom:.0001pt;text-align:center; line-height:normal;mso-pagination:none;tab-stops:211.5pt center 237.5pt 243.0pt left 300.75pt; text-autospace:none"><b><span style="font-size:12.0pt;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="MsoNormal" align="center" style="margin-top:0cm;margin-right:-2.5pt; margin-bottom:0cm;margin-left:0cm;margin-bottom:.0001pt;text-align:center; line-height:normal;mso-pagination:none;tab-stops:center 243.0pt left 295.5pt; text-autospace:none"><b><span style="font-size:12.0pt;font-family:"Book Antiqua",serif;mso-fareast-font-family: "Book Antiqua";mso-bidi-font-family:"Book Antiqua";color:#00B0F0">NATIONAL INVESTMENT BANK LTD, ELAND INTERNATIONAL GHANA LTD<o:p></o:p></span></b></p><p class="MsoNormal" align="center" style="margin-top:0cm;margin-right:-2.5pt; margin-bottom:0cm;margin-left:0cm;margin-bottom:.0001pt;text-align:center; line-height:normal;mso-pagination:none;text-autospace:none"><span style="font-size:10.0pt;mso-bidi-font-size:12.0pt;font-family:"Book Antiqua",serif; mso-fareast-font-family:"Book Antiqua";mso-bidi-font-family:"Book Antiqua"">[HIGH COURT, ACCRA]<o:p></o:p></span></p><p class="MsoNormal" style="margin-top:0cm;margin-right:-2.5pt;margin-bottom: 0cm;margin-left:0cm;margin-bottom:.0001pt;text-align:justify;text-justify:inter-ideograph; line-height:normal;mso-pagination:none;tab-stops:168.75pt 278.15pt 298.5pt 413.25pt; text-autospace:none"><span style="font-size:10.0pt;mso-bidi-font-size:12.0pt; font-family:"Book Antiqua",serif;mso-fareast-font-family:"Book Antiqua"; mso-bidi-font-family:"Book Antiqua""> </span></p><div style="border-top: none; border-right: none; border-left: none; border-image: initial; border-bottom-width: 1.5pt; border-bottom-color: black; padding: 0cm 0cm 1pt; margin-left: 0cm; margin-right: -2.5pt;"> <p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt;text-align: justify;text-justify:inter-ideograph;line-height:normal;mso-pagination:none; text-autospace:none;border:none;mso-border-bottom-alt:solid black 1.5pt; padding:0cm;mso-padding-alt:0cm 0cm 1.0pt 0cm"><a name="_heading=h.gjdgxs"></a><span style="font-size:10.0pt;mso-bidi-font-size:12.0pt;font-family:"Book Antiqua",serif; mso-fareast-font-family:"Book Antiqua";mso-bidi-font-family:"Book Antiqua"">SUIT NO. OCC/28/2014 DATE: 19<sup>TH</sup> FEBRUARY 2016<o:p></o:p></span></p> </div><p class="MsoNoSpacing"><b><span style="font-size:12.0pt;font-family:"Book Antiqua",serif">COUNSEL <o:p></o:p></span></b></p><p class="MsoNoSpacing"><span style="font-size:12.0pt;font-family:"Book Antiqua",serif">ELI AGBAMAVA FOR 3RD PARTY<o:p></o:p></span></p><div style="border-top: none; border-right: none; border-left: none; border-image: initial; border-bottom-width: 1.5pt; border-bottom-color: windowtext; padding: 0cm 0cm 1pt;"> <p class="MsoNoSpacing" style="border:none;mso-border-bottom-alt:solid windowtext 1.5pt; padding:0cm;mso-padding-alt:0cm 0cm 1.0pt 0cm"><span style="font-size:12.0pt; font-family:"Book Antiqua",serif">DICK ANYANDI WITH HIM EDWARD BRIKU BOADU FOR DEFENDANT APPLICANT<o:p></o:p></span></p> </div><p class="MsoNormal" style="margin-top:0cm;margin-right:-2.5pt;margin-bottom: 0cm;margin-left:0cm;margin-bottom:.0001pt;text-align:justify;text-justify:inter-ideograph; line-height:normal;mso-pagination:none;tab-stops:106.5pt 297.0pt;text-autospace: none"><b><span style="font-size:12.0pt; 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><p class="MsoNormal" style="margin-top:0cm;margin-right:-2.5pt;margin-bottom: 0cm;margin-left:0cm;margin-bottom:.0001pt;text-align:justify;text-justify:inter-ideograph; line-height:normal;mso-pagination:none;text-autospace:none"><span style="font-size:12.0pt;font-family:"Book Antiqua",serif;mso-fareast-font-family: "Book Antiqua";mso-bidi-font-family:"Book Antiqua"">HIS LORDSHIP JUSTICE JEROME NOBLE-NKRUMAH<o:p></o:p></span></p><div style="border-top-width: 1.5pt; border-top-color: black; border-left: none; border-bottom-width: 1.5pt; border-bottom-color: black; border-right: none; padding: 1pt 0cm; margin-left: 0cm; margin-right: -2.5pt;"> <p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt;line-height: normal;mso-pagination:none;tab-stops:196.5pt center 237.5pt;text-autospace: none;border:none;mso-border-top-alt:solid black 1.5pt;mso-border-bottom-alt: solid black 1.5pt;padding:0cm;mso-padding-alt:1.0pt 0cm 1.0pt 0cm"><b><span style="font-size:12.0pt;font-family: "Book Antiqua",serif;mso-fareast-font-family:"Book Antiqua";mso-bidi-font-family: "Book Antiqua""> RULING<o:p></o:p></span></b></p> </div><p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt;text-align: justify;text-justify:inter-ideograph"><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:"Times New Roman"">This is a ruling on Motion on Notice to refer Action to Arbitration and for stay of proceedings pursuant to section 6 (1), (2) and (3) of the Alternative Dispute Resolution Act, 2010 (Act 798) and Order 19 Rules 1 and 4 of CI47 of 2004.<o:p></o:p></span></p><p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt;text-align: justify;text-justify:inter-ideograph"><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:"Times New Roman"">The applicants’ case underlying this application simply put is that there is Collateral management Agreement (exhibit EIGL1) between the parties to this suit for the supply of rice and other commodities. That the defendant respondent was to manage the goods, take care of sales and cause proceeds to be paid to the Plaintiff. That a 2004 agreement between the same parties (EIGL2) set out the pattern of trade and role of the parties. By clause 6 of this exhibit EIGL2 there is reference to arbitration in the event of any differences arising. Applicant goes on that Plaintiff in its claim talks about the supply of rice and the defendant respondent not being able to account for those supplies and therefore this dispute falls within the purview of the arbitration clause referred to in applicants exhibit EIGL2. And for that matter this court ought to refer parties to arbitration and stays proceedings.<o:p></o:p></span></p><p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt;text-align: justify;text-justify:inter-ideograph"><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:"Times New Roman"">In opposing this motion counsel for def respondent has implored on the court that there is no binding or compulsory arbitration clause in either the exhibit EIGL1 or EIGL2. That the mere presence of an arbitration clause does not oust the jurisdiction of the courts. That in construing the phrase ‘may be referred’ it is trite law that the courts seek out the ordinary meaning of the words and that it is only when this approach makes no sense that the court digs deeper to find out what the parties intended. That in our present situation once a party disagrees with arbitration, it takes away that option.<o:p></o:p></span></p><p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt;text-align: justify;text-justify:inter-ideograph"><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:"Times New Roman"">Counsel for the Pl intervening on point of law draws the courts attention to sections 5, 6 and 7 of Act 798, pointing out three circumstances under which the law envisages a reference can be made and submits to this court that this matter falls under section 5. That flowing from section 6(2) the court has only one mandate in this regard and that is to find out if there is an arbitration clause subject to the exception in 5(1)<o:p></o:p></span></p><p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt;text-align: justify;text-justify:inter-ideograph"><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:"Times New Roman"">The above so far, sets out the basic arguments of the parties to this application. Reference has been made to exhibit EIGL2 and particularly to clause 6 which reads:<o:p></o:p></span></p><p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt;text-align: justify;text-justify:inter-ideograph"><b><i><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:"Times New Roman"">‘All parties agree to resolve any differences in a friendly manner by discussions failing which the matter may be referred to an Arbitrator under the laws of United Kingdom in London’<o:p></o:p></span></i></b></p><p class="MsoNormal" style="margin-bottom:0cm;margin-bottom:.0001pt;text-align: justify;text-justify:inter-ideograph"><span style="font-size:12.0pt;line-height: 115%;font-family:"Book Antiqua",serif;mso-bidi-font-family:"Times New Roman"">It is this clause that the def respondent says is not binding on the parties. This style of couching arbitration agreements as has been rightly pointed out by the applicant is described as the Adhoc style where arbitration is not envisaged by the parties to be conducted u</main>
