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ELEGANT HOMES & CONSTRUCTION LIMITED VS MRS. PATIENCE SENCHERY & ANOR

2018

HIGH COURT

GHANA

CORAM

  • HIS LORDSHIP JUSTICE KWEKU T. ACKAAH-BOAFO

Areas of Law

  • Alternative dispute resolution
  • Contract Law
  • Civil Procedure
  • Commercial Law

AI Generated Summary

This High Court ruling by Justice Kweku T. Ackaah-Boafo addresses a motion by the Defendants to stay proceedings and refer the dispute to alternative dispute resolution under Clause 19.0 of a construction contract between Patsys Day Care Center and Elegant Homes and General Construction Ltd (EHGCL). The clause requires the parties, acting in good faith, to attempt negotiation and, if they agree, to appoint a mediator or arbitrator via the Ghana Institute of Surveyors. EHGCL completed the school project but was not paid; the parties negotiated a written payment plan on 11 November 2014, yet the Defendants made no payment. After appearing, defending, and filing witness statements, the Defendants sought a stay under the ADR Act. Distinguishing BCM Ghana, the court held that Section 6 of Act 795 makes stays discretionary, not automatic, and found no arbitrable issues or good-faith readiness to arbitrate. The application was dismissed.

RULING