LUJA DEVELOPMENT LTD v. LOTUS CORP
2019
HIGH COURT
GHANA
CORAM
- HIS LORDSHIP, ERIC KYEI BAFFOUR, ESQ., JUSTICE OF THE HIGH COURT
Areas of Law
- Construction Law
- Contract Law
- Evidence Law
2019
HIGH COURT
GHANA
CORAM
AI Generated Summary
The case concerns a sale agreement for three properties where the Plaintiff alleged defects in two of the units and sought specific performance and damages. The Defendant denied the claims and asserted non-payment and unauthorized changes by the Plaintiff. The court dismissed the defect claims and the request for special damages due to insufficient proof, and denied specific performance for Unit 007 due to the Plaintiff's breach of payment terms. Refund of payments with adjustments for variations was ordered. Costs were awarded to the Defendant.
JUDGMENT
By virtue of a sale agreement dated the 10 th of October, 2014, Plaintiff agreed to purchase three houses numbered 007, 009 and 010 situate at a prime and plush area of Cantonment, Accra near the US embassy, called ICON project, managed by Defendant with the purchase price for the three projects being US$1,520,000. Defendant provided a limited warranty for the structural integrity of the three houses by undertaking to repair or replace defects caused by work improperly carried out by Defendant. It is further not in dispute that Plaintiff made a total payment of US$1,180,298 for properties 009 and 010 and part payment for Unit 007.
Plaintiff upon being granted access to the three properties, claim to have noticed several defects with two of the houses that were handed over by the Defendant, being Units 09 and 10. Plaintiff cite the swimming pool that was constructed had serious, if not dangerous structural defects which he claim were brought to the attention of the Defendant. That its hopes had been dashed as contrary to its expectation as per the contract Defendant has failed to remedy the defects it brought to its attention.
Plaintiff contend that with the failure of the Defendant to remedy the defects, it had to expend Gh¢372,000 to undertake the repairs in order to mitigate its losses. And that Defendant was in the process of selling Unit 007 to a third party in breach of the agreement between them. To Plaintiff it has been denied access to the property it has partly paid for and Defendant was ready to abrogate the contract and these were enough to provoke Plaintiff to cause the issuance of the writ seeking the following reliefs:
i. An order for specific performance of the contract for the sale of Unit 007, ICON project, No 20A, 2nd Circular Road, Cantonments, Accra.
ii. An order compelling Defendant to pay for the repair and replacement of all defects occasions [sic] by the work improperly carried out by the Defendant with respect of Unit 007, 009 and ‘010’ situate at the ICON project, 205, 2nd Circular road, Cantonments, Accra including refund of Gh¢372,000 already incurred by Plaintiff to correct some of the defects in the house including the swimming pool.
iii. An order of injunction restraining the Defendant, its agents and assigns from selling, dealing or interfering with Unit 007 of the ICON project pending the final determination of this suit.
iv. Cost
v. Such further and other relief as to this honourable court may deem fit.