SOLKROC LIMITED v. ANGLOGOLD ASHANTI (GHANA) LIMITED
2018
HIGH COURT
GHANA
CORAM
- ANGELINA MENSAH-HOMIAH (MRS.) JUSTICE OF THE HIGH COURT
Areas of Law
- Contract Law
- Civil Procedure
- Evidence Law
2018
HIGH COURT
GHANA
CORAM
AI Generated Summary
The case revolves around the breach and termination of a haulage contract between a haulage company and a mining company. The Plaintiff alleged financial damages due to premature contract termination by the Defendant. The court held that the Defendant's termination of the contract was valid according to the contract terms. Consequently, the Plaintiff was not entitled to its reliefs including claims for damages, recovery of sums, and interests as there was no demonstrable breach by the Defendant. Both the claim for enforced contract duration and reliance on equitable estoppel principles were dismissed. Costs were awarded against the Plaintiff.
JUDGMENT
This suit arose from the termination of a haulage contract which the Defendant Company awarded to the Plaintiff Company sometime in March, 2013. The Plaintiff initiated the action on 26/06/2015 but amended the writ of summons and statement of claim on 10/12/2015. On 05/12/2017, the Plaintiff filed a “Further Amended Writ of Summons and Statement of Claim”. The Defendant however maintained its statement of defence filed on 16/12/2015.
These are the reliefs sought by the Plaintiff:
a) Declaration that the unilateral abrogation of a valid contract (No C4033) dated 11th April, 2013 by the Defendant is an unfair breach of the contract between the Defendant and the Plaintiff as the plaintiff relied on same to change its position to its detriment;
b) Recovery of an amount of GHC 1,961,331 being the value of the 17 months unexpired term of the contract which was wrongfully abrogated by the Defendant;
c) Interest on the sum as mentioned in relief (b) supra from November 2014 till date of final payment;
d) Recovery of an amount of GHC 156,906.48 as expected profit (being 8%) of the total value of the 17 months unexpired term of the contract which was wrongfully abrogated by the Defendant.
e) Interest on the said sum as mentioned in relief (d) supra from November, 2014 till date of final payment;
f) Recovery of an amount of GHC 981,980 as special damages for the breach of contract;
g) Interest on the said sum as mentioned in relief (f) supra from November 2014 till date of final payment;
h) General damages for breach of contract.
i) Cost.
THE PLAINTIFF’S CASE.
Whereas the Plaintiff has described itself as a haulage and plant hire company in the mining industry, the Defendant has been described as a Registered Mining Company; both companies are in Ghana. The crux of the Plaintiff’s case is that per a contract which was entered between the parties herein identified as C4033, the Plaintiff was required to haul three million, two hundred and forty thousand (3,240,000) tonnes of ore from various shafts of the Defendant company in the Obuasi Mines namely: KMS; KRS and SANSU Operations to a point identified as STP ROM Pad within the mines, for a period of three years; which translated to 1,746,000 tonnes of ore annually. Per the contract, the Plaintiff was required to provide 14 twenty- four cubic meter highway dump trucks for the efficient performance of the contract. The Plaintiff averred that relying on this requirement, it procured four additional