STEPHEN KOMLA ADOM v. DOMINION PAINTS MANUFACTURING

INTRODUCTION

On the 1st of December, 2022 the Respondent to the instant Application (as

Applicant therein) filed an Originating Motion for an Order for Injunction

and Declaration of Nullity under Section 218 of the Companies Act, 2019

(Act 992).

Upon service of the said Motion on the Applicants (as Respondents therein)

they launched the present Application seeking an Order of this Court

striking out Paragraphs 5 to 23 of the depositions in the affidavit filed in

support of the said Originating Motion and for a further Order dismissing

same.

GROUNDS FOR APPLICATION

According to the Applicants, their Application rests on the principle that

the law frowns on a multiplicity of suits and that a party will not be

permitted to institute several actions in respect of the same subject matter,

when one will suffice.

APPLICANT’S CASE

The Applicant’s case in sum is that the reliefs being sought in the

Respondent’s Originating Motion are virtually the same as those being

sought in a prior suit filed by the 1st Applicant entitled DOMINION

PAINTS MANUFACTURING LIMITED v STEPHEN ADOM in SUIT NO

E1/33/22.

According to the Applicants, the Respondent had, in response to the said

Application filed a Statement of Defence and Counterclaim (Exhibit B) by

which the Respondent had alleged the same facts to wit, the fact that the 1st

Applicant had through force, coercion and undue influence fraudulently

appointed a new CEO as Director of the 1st Applicant.

The Respondent had further alleged that the Board of Directors had not

been properly constituted in accordance with law thereby rendering the

Joint Venture Agreement ultra vires.

Again, the Respondent, similar to its depositions in the Originating Motion

before this Court had further averred that resolutions and the change in

directorship of the 1st Applicant had been procured through fraudulent

means.

The Respondent in its Counterclaim in SUIT NO E1/33/22 had proceeded

to seek the following reliefs;

i) A declaration that the confusion and tension between the parties has

become too high and not conducive for safe and effective and efficient

business operations.

ii) A declaration that the Quick Angels Partners of the Plaintiff Company

(Ist Applicant) not having discharged its obligations of injecting the

required US $ 300,000 into the company cannot be said to be a majority

shareholder

iii) A declaration that any allotment and registration of shares in the name

of Quick Angels Ltd and or