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AYIAH v. COLEMAN

1981

HIGH COURT

GHANA

CORAM

  • WUAKU J

Areas of Law

  • Property and Real Estate Law
  • Evidence Law
  • Contract Law
  • Civil Procedure

AI Generated Summary

WUAKU J determined a property-finance dispute between Kwame Ayiah and Timothy Augustus Coleman arising from Exhibit A, a written instrument memorializing Ayiah's interest-free loan (24,174.26 plus 6,000) to help Coleman reclaim House No. L.88 in Agona Swedru after auction. The court found, based on Exhibit A and compelling extrinsic evidence (including the testimony of intermediary Nana Osei Bonsu, possession, rent collection, and customary terminology), that the parties concluded a customary pledge: Ayiah, as pledgee, had the right to possess the house and enjoy its rents without accounting during the five-year term, with a sale right only upon default at the end. Rejecting arguments of equitable mortgage and strict parol evidence, and addressing Land Registry Act questions, the court held Exhibit A was a memorandum not requiring mortgage registration; alternatively, subsequent registration cured any defect. Coleman's reinsertion of tenants and rent collection breached the pledge. The court awarded Ayiah the outstanding loan and rents collected during Coleman's breach, plus costs, but declined general damages.

JUDGMENT