National Investment Bank Ltd v. ABM Logistics Terminal Ltd and 4 Ors
2016
HIGH COURT
GHANA
CORAM
- HER LADYSHIP JUSTICE DOREEN G. BOAKYE- AGYEI. (MRS.)
Areas of Law
- Contract Law
- Commercial Law
- Evidence Law
- Property and Real Estate Law
2016
HIGH COURT
GHANA
CORAM
AI Generated Summary
The case concerns a loan dispute where the Plaintiff bank sought recovery of an unpaid loan amount, with interest, from the 1st Defendant secured by guarantees and mortgaged properties. The Defendants counterclaimed, alleging breach of contract due to the Plaintiff's failure to establish an agreed banking facility crucial for their business. The Court ruled on multiple issues, determining the debt to be recalculated, noting the bank's enforcement of some securities, dismissing the counterclaim, and addressing procedural aspects of the loan agreement, breach of duties, and applicable legal principles.
JUDGMENT The Plaintiff sued the Defendants on 05/04/2012 claiming the Reliefs endorsed on the Writ of Summons.
On 5th April, 2012 the Plaintiff bank herein issued a Writ of Summons against the 1st, 2nd, 3rd, 4th and 5th Defendants jointly and severally, seeking the following reliefs: 1. Recovery of the sum of One Million Seven Hundred and Eighty-Eight Thousand, Four Hundred and Thirteen Ghana Cedis, Sixty-Three Pesewas(GHȻ1, 788, 413. 63) being the unpaid balance of principal and extended by the Plaintiff to the 1st Defendant.
2. Interest at the contractual adjustable rate of 26% from the 8th day of February, 2012 until date of final payment.
3. An order that the 2nd, 3rd, 4th and 5th Defendants as guarantors shall be personally, jointly and severally liable with the 1st Defendant for the payment of the said debt pursuant to the guarantees executed by them dated the 27th day of May, 2010. 4. An order for the judicial sale of 1. H/NO 7, Strawberry Street, Teshie Nungua Estate mortgaged to the Plaintiff bank as collateral security for the loan.
2. The machinery and equipment acquired from Ghana Leasing Company.
3. The motor vehicles and ICT infrastructure mortgaged and or assigned to the bank by the 1st Defendant as collateral security.
4. An order for the payment of the total sum found due by the 5th Defendant, the EXIMGUARANTY COMPANY LIMITED pursuant to the Deed of Guarantee executed by it in favour of the Plaintiff dated 2nd August, 2007. 5. Costs inclusive of legal fees of 10% of total judgment-debt.
6. Any other relief found due.
1st to 4th Defendants entered Conditional Appearance on 24th April, 2012 and eventually a Statement of Defense on 30th May, 2012. l must say that there were many Applications by both sides for various prayers, some to dismiss the suit, to produce documents and to amend inter alia.
On 5th April, 2013, pursuant to leave granted, 1st to 4th Defendants also filed their first Amended Statement of Defense and a Counterclaim and the matter went through Pre-Trial Settlement where settlement broke down and the matter subsequently referred for trial.
1st to 4th Defendants Statement of Defense and Counterclaim was further amended twice with leave of the Court filed on 4th February, 2015 and 23rd October, 2015. Plaintiff filed their first Reply and subsequently filed an Amended Reply to each amendment made by the 1st to 4th Defendants.
Plaintiff also discontinued the action against the 5th Defendant without liberty.
Plai