DURATECHSIGNS LIMITED VS GA WEST MUNICIPAL ASSEMBLY
April 17, 2019
HIGH COURT
GHANA
CORAM
- HER LADYSHIP, JUSTICE GIFTY AGYEI ADDO
Areas of Law
- Contract Law
- Civil Procedure
- Administrative Law
April 17, 2019
HIGH COURT
GHANA
CORAM
AI Generated Summary
In the Ghana High Court, Justice Gifty Agyei Addo granted a motion for summary judgment in favor of a contractor against a District Assembly over unpaid fees for a street naming and property numbering project in the Amasaman Zonal area of Accra. The parties entered a contract on 17 October 2014, the contractor completed the works by January 2015, and, with the Assembly’s consent, undertook extra work. A final bill of GH¢469,000 was submitted; the Assembly paid GH¢190,000, leaving GH¢279,000 outstanding. After a demand and statutory notice dated 12 March 2018, and with service of all processes, the Assembly entered appearance but filed no defence and did not oppose the motion. Citing section 127 of the Local Government Act, 1993 (Act 462) and the standard in Sanunu v. Salifu [2009] SCGLR 586, the court held there was no defence in law or fact, entered judgment for GH¢279,000, awarded interest at the prevailing commercial bank lending rate from 31 January 2015, and costs of GH¢10,000.
The Plaintiff, on 5th November 2018, instituted the instant action against the Defendant for the following reliefs as endorsed on the Writ of Summons and Statement of Claim:
a. Recovery of the sum of Two Hundred and Seventy-Nine Thousand Ghana Cedis (GH¢279,000.00) as the outstanding amount due to the Plaintiff from the Defendant.
b. Interest on the claim (a) from the 31st day of January 2015 until the date of final payment.
c. Costs.
The crux of the Plaintiff’s claim is contained in paragraphs 3 to 12 of the Statement of Claim, a summation of which is as follows: According to the Plaintiff, it entered into a contract with the Defendant on the 17th of October 2014 for the installation of street naming poles, street naming signs with lettering, and property numbering plates at the Amasaman Zonal, Accra, in the Greater Accra Region of the Republic of Ghana.
The Plaintiff says that in accordance with the agreement, it completed and handed over the said poles and signs to the Defendant on or about January 2015. The Plaintiff continues that, with the consent of the Defendant, it carried out extra work on the project and duly informed the Defendant of the same.
The Plaintiff avers that it performed its obligations per the contract according to the specifications of the Defendant, and upon completion, presented the Defendant with the final bill amounting to Four Hundred and Sixty-Nine Thousand Ghana Cedis (GH¢469,000.00). The Plaintiff states that, to date, the Defendant has only paid One Hundred and Ninety Thousand Ghana Cedis (GH¢190,000.00) of the amount due to it, leaving an outstanding balance of Two Hundred and Seventy-Nine Thousand Ghana Cedis (GH¢279,000.00). It is the Plaintiff’s case that the Defendant has refused to pay the outstanding amount despite repeated demands for the same.
The Plaintiff says that on the 12th of March 2018, it instructed its lawyers to write to the Defendant demanding the payment of the outstanding amount. That, to date, the Defendant has failed to retire its outstanding debt to it, hence the instant action.
The records before the Court show that upon service of the Writ of Summons and Statement of Claim on the Defendant, the Defendant entered appearance through its Counsel on 26th November 2018. Also, from the records of the Court, the Defendant has, to date, failed to file a defence to the Plaintiff’s claim in compliance with Order 11 Rule 2 of the High Court (Civil Procedure) Rules, 2004 (C. I. 47). On 30th January 20