INDUSTRIAL PARK GHANA LIMITED v. NATIONAL INVESTMENT BANK
2016
COURT OF APPEAL
GHANA
CORAM
- GYAESAYOR, JA (PRESIDING)
- LARBI (MRS), JA
- AGYEMANG (MRS), JA
Areas of Law
- Contract Law
- Evidence Law
- Civil Procedure
2016
COURT OF APPEAL
GHANA
CORAM
AI Generated Summary
This case revolves around a dispute on a tenancy agreement where the appellants challenged the High Court's decision favoring the respondents. The plaintiff rented out yet-to-be-constructed warehouse and offices to the defendant for five years. The defendant accepted possession later than agreed and raised issues about the non-fulfillment of certain conditions outlined in pre-agreement discussions, which the plaintiff called non-binding once the lease was signed. However, the trial found these pre-agreement discussions influenced the lease terms indicating a collateral contract. Although the appellee’s initial performance was delayed, the court found that the appellant waived the deadline by later accepting the premises without timely objection. The appeal alleging judicial error and inappropriate handling of evidence was dismissed, upholding the High Court’s judgment and awarding costs to the plaintiff.
AGYEMANG, JA:
In this appeal against the judgment of the High Court (Fast Track Division), Accra, delivered on the 3rd of October 2012, the defendant/appellant (hereafter described alternately as the appellant or the defendant), seeks a reversal of that court’s judgment entering judgment for the plaintiff for the reliefs endorsed on the writ of summons (as amended by the court). The said reliefs were:
i. Arrears of rent for the second year due on the 1st day of August 2009 in the sum of Five Hundred and Thirty-Seven, Thousand, Six Hundred Ghana Cedis (GHC537, 600. 00);
ii. The rent for the unexpired term of the five-year lease from 1st August 2010 to 1st August 2013 in the sum of One Million Six Hundred and Twelve Thousand, Eight Hundred Ghana Cedis (GHC 1, 612, 800. 00);
iii. Interest on the Five Hundred and Thirty-Seven, Thousand, Six Hundred Ghana Cedis (GHC537, 600. 00) arrears of rent as per Clause 4(a) of the Agreement at the prevailing commercial bank rate from 1st August 2009 to 1st August 2010;
iv. Cost of the purchase and the installation of fifteen (15) 9Kg Dry Powder Fire Extinguishers in the sum of One Thousand, Four Hundred and Eighty-Five Ghana Cedis (GHC1, 485. 00);
v. Cost of electrical works done at the request and to the specifications of National Investment Bank (NIB) in the sum of Six Thousand Eight Hundred and Eighty-Four Ghana Cedis (GHC 6884. 00);
vi. Interest on (i) and (ii) above from the date of judgment to date of final payment;
vii. The judgment amended the due date of occupation of the premises to from 1st August 2008 to 15th September 2008, and assessed costs in the sum of GHC5, 000 to the plaintiff.
These are the matters antecedent to the appeal.
On the 2nd of July 2008, the parties herein signed a tenancy agreement by which the plaintiff/respondent (hereafter alternately described as the respondent or the plaintiff) let out property described therein as “all that Warehouse & Offices” together with its easements and appurtenances, to the defendant.
It was for a fixed term of five years with an option to renew for a further five years, and thereafter from year to year.
The rent was expressed to be the sum of Five Hundred and Thirty-Seven, Thousand, Six Hundred Ghana Cedis (GHC537, 600. 00). The rent review mechanism provided for a review after the fifth year.
The tenancy agreement was admitted in evidence as exhibit A. The effective date of occupation and user of the warehouse demised under it was to commence on