HARUNA YUNUS & 8 ORS vs HIS MAJESTY ESTATES AGENCY LTD & ANOTHER
2015
HIGH COURT
GHANA
CORAM
- HER LADYSHIP JUSTICE SOPHIA R. BERNASKO ESSAH (MRS.) JUSTICE OF THE HIGH COURT
Areas of Law
- Contract Law
- Civil Procedure
2015
HIGH COURT
GHANA
CORAM
AI Generated Summary
The plaintiffs filed an action against the defendants for failing to complete renovation of a property within the agreed period and unlawfully collecting rent. The defendants argued they had a valid contract allowing them five years to complete renovations and counterclaimed for damages. The court found that the agreement was valid, the defendants did not breach the contract, and the plaintiffs wrongfully terminated the contract. The defendants were awarded damages, but no need for accounting, and the plaintiffs were ordered to vacate the property.
Plaintiffs herein instituted the instant action against the defendants on the 1st of November 2013. By an amended statement of claim dated the 25th of March 2015 the defendants sought the following reliefs: a. A declaration that the contract entered into by the parties has been determined by virtue of defendant’s failure to construct or renovate the property within the agreed period of three months.
b. A declaration that the collection of rent by the defendants before the construction or renovation is contrary to the agreement and therefore unlawful.
c. Order directed at defendants to account for all rent collected by the defendants from 1st September 2011 to date.
d. Interlocutory injunction restraining defendants either by themselves agents privies workmen or whatsoever described from continuing to renovate the property pending the outcome of this matter.
e. Perpetual injunction restraining defendants whether by themselves, agents privies, workmen or whatsoever described from interfering in whatever manner with the property.
f. Damages for breach of contract.
g. Costs.
Plaintiffs claim that they are the sons of one late Alhaji Yunus Sakande who was the owner of an uncompleted property number B150/30 at Abeka Lapaz in Accra.
That 1st defendant is a limited liability company engaged in the estate agency business whilst the 2nd defendant is the managing director of the 1st defendant company.
Plaintiff alleges that following the death of the late Alhaji Sakande the property was distributed to plaintiffs and Abubakar Yunus, eldest son of the late Alhaji Sakande who is not one of the plaintiffs.
That the property being uncompleted it was agreed by plaintiffs and Abubakar Yunus that it should be contracted out to be completed, after which, it would be let out to tenants.
That Abubakar Yunus was entrusted with the responsibility of finding a contactor.
2nd defendant presented himself as capable of executing the contract and under took to complete the contract within three months and at a minimum cost. That it was a provision of the agreement that the defendants would invest their own money amounting to the GHS30, 000 to complete the property and recover same over a five year period, at a monthly rate of GHS500, from the rent that the defendants would collect from the tenants, who would then take residence in the building starting from 1st November 2011 when the renovation would be completed.
That, the residue from the monthly rent collected from the