EXCEL OIL COMPANY LIMITED v. CROWN PETROLEUM GHANA LIMITED
2018
COURT OF APPEAL
GHANA
CORAM
- ADUAMA OSEI JA (PRESIDING)
- SENYO DZAMEFE JA
- WELBOURNE (MRS.) JA
Areas of Law
- Civil Procedure
- Equity and Trusts
- Property and Real Estate Law
2018
COURT OF APPEAL
GHANA
CORAM
AI Generated Summary
An oil marketing company (the Plaintiff) sued an oil company (the Defendant) over control of a fuel station at Kumasi-Afrancho that the Plaintiff had taken over under a dealership agreement with The Champion Enterprise Limited to recover a debt. Within an hour of issuing its writ, the Plaintiff sought an interlocutory injunction under Order 25 of C.I. 47 to restrain the Defendant from entering or dealing with the station pending trial, asserting interference with its business, deposited fuel stocks, and installed equipment. The High Court granted the injunction and required a GH¢100,000 undertaking. The Defendant appealed, arguing legal ownership via a 2013 judicial sale, possession by court sheriffs, and that the station had been mortgaged to Stanbic Bank since 2005. The Court of Appeal emphasized the criteria for interlocutory injunctions—irreparable harm, adequacy of damages, convenience, and special circumstances—and found the Plaintiff’s claims were monetary, damages adequate, and lack of diligence barred equitable relief. It held the trial court relied on wrong or inadequate material, allowed the appeal, set aside the injunction, and remitted the case for trial before a different judge.
ADUAMA OSEI JA:
In this judgment, the Plaintiff/Applicant/Respondent is referred to as “the Plaintiff”, and the Defendant/Respondent/Appellant is referred to as “the Defendant”. By a writ of summons issued in the High Court, Kumasi, on the 28th of August, 2017, the Plaintiff is seeking the following reliefs against the Defendant:
“a) An order of injunction restraining the defendant either by itself, agents, assigns, privies, etc. of whatever name or description so called from interfering with the plaintiff’s control, management, etc. of a fuel/filling station at Kumasi Afrancho belonging to New Champion Enterprise Ltd. which is a subject matter of fuel dealership agreement between the plaintiff and the said New Champion Enterprise Ltd.
“b) An order for the recovery of the cost of the fuel at The New Champion Enterprise Limited at Kumasi-Afrancho at the time that the defendant unlawfully/forcefully took over the said fuel/filling station from the control/management of the plaintiff which at the time stood at GHC 74, 445. 25.
“c) An order compelling the defendant to surrender all the tools, equipment belonging to the plaintiff which the defendant removed or have taken away from The New Champion Enterprise Limited fuel/filling station at Afrancho or alternatively pay for the said equipment and the cost of fixing them.
“d) General/exemplary damages against the defendant for his unlawful interference with the Plaintiff’s business at the aforementioned filling/fuel station at Kumasi-Afrancho.
“e) Any appropriate reliefs in the circumstance of the case”. The statement of claim accompanying the writ of summons gives the Plaintiff’s explanation for seeking the reliefs set out above.
In the statement of claim, the Plaintiff describes itself as an oil marketing company registered under the laws of Ghana, and it describes the Defendant also as an oil company registered as such under the laws of Ghana.
It alleges that it had a fuel dealership agreement with a company called The Champion Enterprise Limited in respect of the said company’s fuel/filling station at Kumasi-Afrancho which had brought about the Plaintiff taking over and managing the said station.
The Plaintiff alleges in the statement of claim that under the dealership agreement, it was required to supply fuel to The Champion Enterprise Limited for a period of ten years and that if arising out of the agreement, The Champion Enterprise incurred a debt which remained outstanding for three months or mor