2018
COURT OF APPEAL
GHANA
CORAM
AI Generated Summary
Ernest K. Tanoh, an Abidjan-based cocoa supplier, sued West African Mills Company Limited (WAMCO), a Ghanaian agribusiness, for unpaid sums arising from a 2011 supply arrangement authorized by Ghana Cocoa Board. The High Court awarded Tanoh CFA 267,948,266 with interest from February 2011. On appeal, WAMCO argued the judgment was against the weight of evidence and that the trial judge failed to analyze key documents, including a 7 May 2013 written agreement (Exhibit H). The Court of Appeal, applying the rehearing standard, found Exhibit H—executed after a reconciliation on 18 March 2013—conclusively fixed the outstanding amount at €170,000 due to foreign exchange losses under Section 25 of the Evidence Act. It set aside the High Court’s judgment, entered judgment for €170,000, and ordered interest from 18 March 2013 at the prevailing bank lending rate.
Irene Charity Larbi (Mrs.) J. A.
Section 25 of the Evidence Act, 1975 (NRCD 323) - Evidence—Burden of proof—Conclusive Presumption. The facts recited in a written document are conclusively presumed to be true between the Plaintiff and the Defendant.
Interest—Award of interest—Date from which debt due for award. Where payments are made intermittently, the award of interest should commence from the date of the reconciliation of the account.
Irene Charity Larbi (Mrs.) J. A.
This appeal emanates from the judgment of the High Court, Cape Coast, delivered on 31st July, 2015.
On 1st August, 2014, the Plaintiff issued from the registry of the court a writ of summons with the following endorsements: - The Plaintiff claims against the Defendant as follows:
“(a) Recovery of the sum of 267,948,266.00 CFA or its Cedi equivalent as per the current Forex Bureau exchange rate for the Cocoa beans the Defendant purchased from the Plaintiff but has refused to pay despite repeated demands.
(b) Interest at the prevailing bank lending rate from February, 2011 to date of judgment.
(c) Cost.
The Defendant, a company registered under the laws of Ghana, deals in the purchase of agricultural products such as cocoa beans, shea-nuts, and other commodities.
The Plaintiff averred that somewhere in February, 2011, he had a contract with the Defendant to supply the Defendant with African Cocoa Beans from Ivory Coast. This contract was in pursuance of authorization granted to the Defendant to purchase and import cocoa beans from Ivory Coast by the Ghana Cocoa Board.
The Plaintiff contended that the contract was reduced into writing and the modalities for the supply and payment of the African Cocoa Beans were all specified.
The Plaintiff contended that sometime in the 2012/2013 Cocoa season, he demanded his outstanding payment for the supply of beans only to be told that he was rather indebted to the Defendant in the sum of 180,525.00 Euros.
The Plaintiff contended further that he wrote back requesting a reconciliation meeting, which was done, and it