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February 22, 2024
COURT OF APPEAL
GHANA
HENRY KWOFIE JSC.
This Appeal originates from a Writ of Summons filed by the Plaintiff/Respondent (hereinafter referred to as 'the Respondent') in the High Court, Labour Division, Accra, on 5 th March, 2018, by which the Respondent sought the following reliefs against the Defendant/Appellant (hereinafter referred to as 'the Appellant'):
'a) A declaration that the termination of the employment of the Plaintiff is in breach of the Contract of Service.
b) An order for the payment of GH¢20,000 being four weeks salary in lieu of notice and his transport allowance of GH¢1,000.
c) An order for the payment of salaries and allowances for each month's salary and allowances not paid after the Defendant wrongfully terminated Plaintiff's employment till the payment of GH¢20,000, being four weeks' salary in lieu of notice and his transport allowance of GH¢1,000 has been made.
d) Interest at the prevailing bank rate on reliefs "a" and "c" till date of final payment.
e) Damages for wrongful termination of Contract.
f) Costs.'
The facts on which the Appellant and the Respondent contested their case in the Court below are as follows.
The Respondent's action was one for the Breach and the Unlawful Termination of his Contract of Service (hereinafter called 'the Agreement') with the Appellant, and which he tendered as Exhibit '4' at pages 46 to 50 of the Record of Appeal (hereinafter referred to as 'the ROA'). The Respondent, a lawyer and a former employee of the Appellant, alleged that the Appellant, a holding company for several companies incorporated under the Laws of Ghana, breached the terms of the Agreement by purporting to suddenly, and without notice, terminate the Agreement by a letter dated 21 st December, 2017. The Respondent asserted having fulfilled his obligations under the Agreement by working and receiving payments thereunder. As such, he caused his solicitors to issue a letter dated 8 th January, 2018 to the Appellant demanding that the Appellant pays to him the sum GH¢20,000, being four weeks' salary in lieu of notice, and his transport allowance of GH¢1,000 as required under Clause 3 of the Agreement. The Respondent alleged that
despite this demand, the Appellant failed to fulfill its obligations, wherefore he sued the Appellant per his Writ of Summons.
The Appellant generally denied the claims of the Respondent, particularly concerning the Agreement, the termination of the Respondent's employment, and his entitlement to any form of compensation.
AI Generated Summary
This appeal between Kwarleyz Group and its former General Legal Counsel, Maxwell Ackah Amos Amihere, arose from a High Court judgment granting Amihere reliefs for unlawful termination. Although the revised Contract of Service was never signed, the Court of Appeal found that both parties conductAmiheres services and Kwarleyzs payment of salary and allowance in November and December 2017adopted the Agreements terms, making it enforceable. Clause 3 required four weeks notice or payment in lieu during the 90-day probation; Kwarleyzs immediate termination on 21 December 2017 triggered the obligation to pay the salary in lieu, which it failed to do, rendering the termination wrongful. Applying Ghanaian principles of damages for employment contracts, the Court assessed a reasonable three-month period to find alternative employment. It allowed the appeal in part and varied the reliefs to a lump-sum of three months salary and allowance with interest, addressed set-off of sums already paid, and recorded concurrence from the panel members.