GRACO ENGINEERING LTD. AND JOHNSON COMPLEX (GH) LTD. vs. AIRTEL GHANA LTD. [2020]DLCA10033

Date	2020-06-11
Suit No.	CIVIL APPEAL NO.: H1/70/2020
Citation No.	[2020]DLCA10033

I. O. TANKO AMADU JSC (PRESIDING)

B. F. ACKAH-YENSU JA

A. OPPONG JA

BABA AVIO FOR PLAINTIFF/APPELLANT

[2020]DLCA10033
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													<main id="main" class="content" style="min-height: 60rem" >GRACO ENGINEERING LTD. AND JOHNSON COMPLEX (GH) LTD.<o:p></o:p>(PLAINTIFF/ APPELLANT)<o:p></o:p>vs.<o:p></o:p>AIRTEL GHANA LTD.<o:p></o:p>(DEFENDANT/RESPONDENT)<o:p></o:p>[COURT
OF APPEAL, ACCRA]<o:p></o: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;">

CIVIL APPEAL NO.: H1/70/2020&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; DATE:11TH JUNE, 2020<o:p></o:p>

</div>COUNSEL<o:p></o: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;">

BABA AVIO
FOR PLAINTIFF/APPELLANT<o:p></o:p>

</div>CORAM&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <o:p></o:p>I. O. TANKO AMADU JSC (PRESIDING), B.
F. ACKAH-YENSU JA, A. OPPONG JA<o:p></o:p><div style="border-top-width: 1.5pt; border-top-color: windowtext; border-left: none; border-bottom-width: 1.5pt; border-bottom-color: windowtext; border-right: none; padding: 1pt 0cm;">

<p class="MsoNormalCxSpMiddle" 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:0cm;mso-padding-alt:1.0pt 0cm 1.0pt 0cm">JUDGMENT<o:p></o:p>

</div>&nbsp;B.
ACKAH-YENSU, JA<o:p></o:p>This appeal arose from the
decision of the High Court (Commercial Division) Accra, dated 28th
August 2017, wherein judgment was entered against the Plaintiff/Appellant.&nbsp; For reasons of convenience, the Parties
herein will be referred to simply as the “Plaintiff” and “Defendant”.<o:p></o:p>In the High Court, the
Plaintiff took a writ against the Defendant for the following reliefs:<o:p></o:p>“(a)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; An amount of GH¢179,096 being balance of
generators, voltage regulators and cost of de-installation and installation.<o:p></o:p>(b)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest on the said sum at the prevailing
lending rate from 5/7/2011 till date of final payment.<o:p></o:p>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Cost
inclusive of lawyers’ fees”.<o:p></o:p>&nbsp;FACTS<o:p></o:p>The background to this appeal is that
sometime in November 2010 the Parties herein entered into an agreement under
which the Plaintiff was to supply the Defendant with two (2) 1000 KVA Generator
sets, voltage regulators and Automatic Voltage regulators (AVRs), all at the
total cost of GH¢1,124,800.&nbsp; The
Plaintiff supplied and installed the generator sets which worked for a period
of time and started developing faults.&nbsp;
Due to the persistence of the problems the Defendant wrote to the
Plaintiff claiming to have rejected the generators based on the Standard
General Terms and Conditions under which the transaction was carried out.&nbsp; The Plaintiff however denied that the
Defendant had rejected the generators nor did they accept the rejection of the
equipment by the Defendant.&nbsp; They
consequently commenced the action in the High Court claiming payment of the
outstanding amount on the generator sets.<o:p></o:p>&nbsp;The Defendant, in their pleadings, conceded
that Plaintiff indeed supplied and installed the generators but contended that
the generators were defective as a result of which Defendant rejected
them.&nbsp; The Defendant consequently
counterclaimed for the following reliefs:<o:p></o:p>“(i)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; A declaration that there was no contract
as plaintiff supplied defective generators and therefore owes no obligation
towards the plaintiff or breach of contract by the plaintiff.<o:p></o:p>(ii)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Refund of the sum of Five Hundred and
Forty-one Thousand, Eight Hundred Ghana Cedis (GH¢541,800.00) being the full
costs of the two (2) Generators less 30% depreciation.<o:p></o:p>(iii)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Costs of rental during the period the
generators were unavailable for use.<o:p></o:p>(iv)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest on the sum of Five Hundred and
Forty-one Thousand, Eight Hundred Ghana Cedis (GH¢541,800.00) from the date of
the payment of last installment of the contract sum to the date of final
payment.<o:p></o:p>(v)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; General damages.<o:p></o:p>(vi)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Costs and legal fees.<o:p></o:p>(vii)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Any other reliefs as the Court may deem
fit”.<o:p></o:p>&nbsp;At the end of the trial the High Court
found that the Defendant did reject the equipment as defective and that there
was an agreement between the Parties to dispose of the generators by the
Plaintiff.&nbsp; The trial Judge granted
Defendant’s counterclaim in part and consequently entered judgment in
Defendant’s favour.<o:p></o:p>&nbsp;APPEAL<o:p></o:p>By Notice filed on 09/11/2017 the
Plaintiff has appealed to this Court on grounds set out as follows:<o:p></o:p>