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DACHEL COMPANY LIMITED v. FRIESLAND FRICO DOMO

February 4, 2010

COURT OF APPEAL

GHANA

CORAM

  • ASARE KORANG, J.A. (PRESIDING)
  • F. KUSI-APPIAH, J.A.
  • IRENE DANQUAH (MS.), J.A

Areas of Law

  • Commercial Law
  • Contract Law
  • Civil Procedure
  • Conflict of Laws

AI Generated Summary

The Court of Appeal (per F. Kusi‑Appiah, J.A.) reviewed an appeal from the High Court, Accra, arising out of a decades‑long commercial agency between a Ghanaian company and a Dutch successor to Pierson Munier & Co. (P.M.C.). The agency was governed by Exhibit A (with an English governing law clause) and Exhibit B (adding a 90‑day termination notice). Plaintiff invested heavily in promoting defendant’s products, while defendant later attempted to reduce commissions; after advising and approving plaintiff’s expansions, defendant terminated by 90‑day notice and installed Forewin as new agent, asking plaintiff to hand over its distribution network. The High Court awarded USD 500,000 compensation, ¢47 million special damages, and ordered accounts; defendant appealed on procedural and substantive grounds. The Court of Appeal held procedural defects were waivable irregularities, confirmed English/EU law applied, recognized compensation on termination under common practice and the Commercial Agents Regulations, upheld the quantum based on restoring plaintiff to its rightful position, and dismissed the appeal, affirming the High Court.

JUDGMENT