KOFI NTIM MANU vs GEORGE OTI BONSU
April 9, 2019
HIGH COURT
GHANA
CORAM
- HER LADYSHIP, JUSTICE GIFTY AGYEI ADDO, HIGH COURT JUDGE.
Areas of Law
- Alternative dispute resolution
- Civil Procedure
April 9, 2019
HIGH COURT
GHANA
CORAM
AI Generated Summary
This High Court matter between Kofi Ntim Manu (also known as Kofi Lee) and George Oti Bonsu centers on whether a previously executed mediation settlement bars a fresh suit seeking repayment of funds arising from their land and financial dealings. Manu claimed Bonsu owed an outstanding USD 40,000 from a loan and related land transactions, while Bonsu argued that the parties executed a settlement agreement on 12 October 2016 (Exhibit A), witnessed by Frank Tawiah, Paa Gyimah Genfi, and Kwame Amofa, which reversed earlier land sales and set a structured repayment totaling USD 180,000, with USD 50,000 already paid. The Court analyzed the Alternative Dispute Resolution Act, 2010 (Act 798), holding that once parties sign a mediation settlement, it is binding, has the effect of an arbitral award, and is enforceable like a judgment with leave of the High Court. Therefore, the proper route was enforcement, not relitigation. The Court, exercising its inherent jurisdiction, struck out Manu’s statement of claim and dismissed the suit, awarding costs to Bonsu.
The Plaintiff on the 28th September, 2018, instituted the instant action against the Defendant for the following reliefs:
a. The immediate repayment of the outstanding principal sum of $40, 000. b. Interest thereon at the commercial bank lending rate from January 2010 to January 2016 and till date of final repayment.
c. Interest on the US $ 50, 000 paid on 12/10/2016.
d. Costs, inclusive of the Plaintiff’s Solicitor’s professional legal fees.
e. Any other relief(s) as to this Honourable Court may seem meet.
CASE OF THE PLAINTIFF
The crux of the Plaintiff’s grievance is contained in paragraphs 3 to 13 of his Statement of Claim, a summation of which is as follows: According to the Plaintiff, on the 28th of December, 2010, the Defendant approached him for financial assistance in the sum of One Hundred and Forty Thousand Dollars($140, 000. 00) to enable him acquire a warehouse to serve as a workshop.
The Plaintiff states that through the assistance of a mutual friend of the parties, he advanced the sum requested to the Defendant who promised to refund the principal sum of $140, 000 within three (3) months, on or before 28th February 2011. The Plaintiff states further that the Defendant offered to sell to him, a piece of land he had acquired at a public auction for Seventy- Six Thousand Ghana Cedis(GH¢76, 000. 00), which he accepted.
That in evidence of the said sale of land, an agreement to that effect was executed in January, 2011. Further, that the Defendant however did not furnish him with title documents to the said land until in 2012. It is the Plaintiff’s case that the Defendant failed to pay back the money advanced him within the three (3) months as promised, wherefore he caused the arrest of the Defendant.
That following a criminal action against the Defendant, where the Defendant admitted his indebtedness, an agreement was reached with the Defendant wherein the latter agreed to refund $90, 000 (Ninety Thousand Dollars)out of his indebtedness to the Plaintiff and for the outstanding balance of $50, 000(Fifty Thousand Dollars) to be used to defray the cost of Seventy- Six Thousand Ghana Cedis (GH¢76, 000. 00) being the cost of the land.
The Plaintiff continues that Defendant later paid an amount of $50, 000. 00 (Fifty Thousand Dollars), leaving the outstanding balance of $40, 000. 00 (Forty Thousand Dollars). That despite several demands, the Defendant has refused to retire the outstanding indebtedness.
THE DEFENDANT’S CASE
The Defendant, up