AERODYNAMICS LIMITED v. PA TO PA BUILDING & CONSTRUCTION LTD AND KWADWO AIKINS
December 15, 2022
HIGH COURT
GHANA
CORAM
- HIS LORDSHIP JUSTICE BERNARD BENTIL - HIGH COURT JUDGE
Areas of Law
- Contract Law
- Civil Procedure
- Evidence Law
December 15, 2022
HIGH COURT
GHANA
CORAM
AI Generated Summary
In this Ghana High Court judgment, the Plaintiff Company sued the 1st Defendant Company and its Chief Executive Officer (the 2nd Defendant) after financing the 1st Defendant’s boulder supply obligations to AMANDI INVESTMENT LIMITED at Sefwi Benchema. Following due diligence, the Plaintiff advanced GH₵220,000 under a written loan agreement at 60% interest, but the 1st Defendant’s two post‑dated repayment cheques were dishonoured and its AMANDI contract was repudiated. The parties then executed an Investment Agreement on 21 April 2021 to allow the Plaintiff to take over supply and recover its funds, obligating the Defendants to obtain licences and refrain from competing. The Plaintiff alleged non‑performance of these obligations, third‑party interference, and operational delays. Despite service, the Defendants failed to appear or defend; the court proceeded, required proof, and found the Plaintiff’s exhibits and testimony uncontroverted. The court entered judgment for breach, ordering repayment of GH₵340,000 and refund of GH₵855,800.19 with 20% interest for the specified period, plus GH¢10,000 costs.
JUDGMENT
The Plaintiff Company has instituted this action against the Defendants herein for
the following reliefs:
a. A declaration that the Defendants are in breach of the Agreement entered into
between the Plaintiff and the 1st Defendant on the 21st day of April 2021
b. An order for specific performance against the Defendants for the performance
of all their obligations under the Agreement, including but not limited to
obtaining all the relevant licences, regulatory permits and certification for the
running of the quarry.
c. An order of permanent injunction to restrain the Defendants, their agents,
workmen, privies, servants and assigns from coming to the quarry site and/or
doing anything either directly or indirectly to interfere with operations at the
quarry site
d. General damages for breach of contract
e. Cost, inclusive of legal fees
f. Any further order(s) this Honourable Court deems fit.
Alternatively, the Plaintiff prays this court to grant the following reliefs:
g. A declaration that the Defendants are in repudiatory breach of the Agreement
entered into between the parties on 21st April 2021
h. An order for the recovery of an amount of Three Hundred and Forty
Thousand Ghana Cedis (GH₵ 340,000) being the loan granted to the 1st
Defendant together with the interest charged on it.
i. An order for the refund by the Defendants to the Plaintiff the amount of Eight
Hundred and Fifty-five Thousand, Eight Hundred Ghana Cedis and Nineteen
Pesewas (GH₵ 855,800.19) being the amount invested in the quarry project
together with interest at 20% from 19th March 2021 to 17th June 2021
j. General damages for breach of contract.
k. Interest on the amounts claimed in reliefs (h) and (i) at the prevailing
commercial bank rate from 17th June 2021 till date of final payment.
l. Cost, inclusive of legal fees
m. Any further order(s) this Court deems fit.
The facts or events culminating into this action are that, the 1st Defendant Company,
acting through its Chief Executive Officer, the 2nd Defendant herein, contacted the
Plaintiff through one Mr Gideon Kwabena Gyimah of FIXIT Enterprise to discuss
funding options from the Plaintiff for a supply contract the 1st Defendant had with
AMANDI INVESTMENT LIMITED at Sefwi Benchema in the Western North Region
of Ghana involving the supply of 10,000 cubic metres of 0-500mm boulders by the 1st
Defendant to AMANDI INVESTMENT LIMITED for the construction of a 38km
road from Benchema Barrier to A