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GEORGIA HOTEL LIMITED v. SILVER STAR AUTO LIMITED

2012

SUPREME COURT

GHANA

CORAM

  • ANSAH J.S.C. (PRESIDING) ADINYIRA (MRS), J.S.C.
  • DOTSE, J.S.C.
  • GBADEGBE, J.S.C.
  • AKOTO-BAMFO (MRS)J.S.C

Areas of Law

  • Contract Law
  • Commercial Law
  • Civil Procedure

AI Generated Summary

Hotel Georgia Limited sued Silver Star Limited after a September 2006 breakdown of its brand new Mercedes Benz E240 Avant-garde purchased in October 2004, alleging latent manufacturing defects and seeking replacement or value, loss of use, and costs. The High Court awarded 58,500, interest, $10,000 loss of use, and costs, but the Court of Appeal reversed. On further appeal, the Supreme Court, per Sophia Adinyira JSC, defined latent defects as flaws undiscoverable upon reasonable inspection and held the buyer bears the burden to prove such defects existed at delivery. The Court found only engine noise established; other electronic faults were due to low voltage from a discharged battery while in the plaintiffs custody, compounded by missed servicing and an unqualified auto electricians jump-start. No breach of section 13(1) or valid rejection under section 50 was shown, and the appeal was dismissed.

JUDGMENT