SUNBELTIC COMPANY LTD v. TEMA DEVELOPMENT CORP. & ORS

The Ghana Court of Appeal, comprising Presiding Justice Margaret Welbourne JA and Justices P. Bright Mensah JA (author) and J. Adjei Frimpong JA, dismissed an appeal challenging the Tema High Court’s refusal to recognize the appellant’s claimed leasehold over Plot No. IND/A/44/25 in the Tema Heavy Industrial Area near Tema Steel Works. The 1st respondent offered the plot by letter dated 14 June 2004 with payment due by 1 July 2004. The appellant paid only C80,000,000 (GH¢8,000) on 6 July 2004 and failed to prove further payment. After 59 months, the 1st respondent withdrew the reservation and reallocated the land to the 3rd respondent. On appeal, arguments of waiver, promissory estoppel, arbitrariness under Articles 23 and 296, and entitlement to specific performance were rejected. The Court held that, in the commercial context of the heavy industrial area, time was of the essence; acceptance of late part-payment did not bar withdrawal when the appellant delayed five years; specific performance could not aid a party in breach. The appeal was dismissed and costs of GH¢10,000 were awarded to each respondent.