GLENCORE A.G v. VOLTA ALUMINUM COMPANY LIMITED
2015
SUPREME COURT
GHANA
CORAM
- WOOD (MRS)CJ (PRESIDING)
- ANSAH JSC
- DOTSE JSC
- BAFFOE-BONNIE JSC
- AKAMBA JSC
Areas of Law
- Contract Law
- Commercial Law
2015
SUPREME COURT
GHANA
CORAM
AI Generated Summary
This legal matter concerns an appeal by the Plaintiff against the Court of Appeal's affirmation of the High Court's decision to award general but not special damages for the Defendant's breach of contract for failing to accept delivery of 26,250 metric tons of alumina. The Supreme Court concluded there was a binding contract but found that the Plaintiff failed to provide sufficient evidence to claim special damages. Thus, the initial award of GH¢25,000.00 in general damages was upheld. The case extensively considered sections 47 and 48 of the Sale of Goods Act, 1962 (Act 137), principles of remoteness of damages, and the importance of providing adequate evidence for claims of special damages.
JUDGMENT
JONES DOTSE JSC:-
It is provided in sections 1 (1), 47, 48 (1) and (2) of the Sale of Goods Act, 1962 (Act 137) as follows:
“1(1) a contract for the sale of goods is a contract by which the seller agrees to transfer the property in the goods to the buyer for a consideration called the price, consisting wholly or partly of money.”
47. Damages for non-acceptance
(1) Where the buyer wrongfully neglects or refuses to accept and pay for the goods in accordance with the terms of the contract, the seller may maintain an action against the buyer for damages for non-acceptance.
(2) In a contract for the sale of goods to be delivered by instalments,
(a) if each instalment is to be separately paid for, subsection (1) shall apply to each instalment separately, but where the buyer has by words or conduct shown an intention to repudiate the contract the seller may, if the seller accepts the repudiation, maintain an action for damages for non-acceptance in respect of the goods;
(b) in any other case, a breach in respect of one or more instalments shall be treated for the purposes of subsection (1) as though it were a breach in respect of the whole contract or of the remaining part of the contract.
48. Assessment of damages
(1) The measure of damages in an action for damages is the loss which could reasonably have been foreseen by the buyer at the time when the contract was made as likely to arise from the breach of contract.
(2) Where there is an available market for the goods, the measure of damages is prima facie to be ascertained by the differences between the contract price and the market or current price.
(a) If a time has been fixed for acceptance, or if the buyer repudiates the contract before the time of performance, and the seller does not accept the repudiation, at the time or times when the goods ought to have been accepted.
(b) In any other case, at the time or times of the refusal to accept the goods.” Emphasis supplied.
BRIEF FACTS
This is an appeal by the Plaintiff/Appellant/Appellant, hereafter referred to as the Plaintiff against the decision of the Court of Appeal rendered on 7th day of July, 2011 which also affirmed the decision of the High Court, dated 13th November 2009 by which the Defendants/Respondents/Respondents hereafter referred to as the Defendants were directed to pay the Plaintiff’s, general damages of GH¢25,000.00.
PLAINTIFF’S CLAIMS IN THE TRIAL HIGH COURT
The Plaintiff claimed the following reliefs against the