SUNCITY PHARMACY & ORS vs KADENNIS COMPANY LTD & ORS
November 4, 2022
HIGH COURT
GHANA
CORAM
- HER LADYSHIP AKUA SARPOMAA AMOAH J. (MRS.)
Areas of Law
- Corporate Law
- Contract Law
- Tort Law
- Evidence Law
- Civil Procedure
- Employment Law
November 4, 2022
HIGH COURT
GHANA
CORAM
AI Generated Summary
This High Court case concerns competing distributorship claims over Starz Energy Drink and a disputed shipment. The court first addressed capacity: despite the 3rd Plaintiff’s involvement, Suncity (the 1st Plaintiff) was improperly included without board or shareholder authorization, reflecting misunderstanding of corporate separateness; it was struck out. The court found the 3rd Plaintiff did discover the product and, based on documents and conduct, worked for the 1st Defendant as Marketing Manager or was estopped from denying it. The court rejected claims of forgery and exclusivity, finding E&J’s conduct showed no genuine exclusive distributorship and privity barred binding non-parties. The bill of lading proved the 2nd Plaintiff’s title to the container; the Defendants’ self-help amounted to conversion. Judgment awarded the 2nd Plaintiff USD 18,000 and GH¢ 15,064.78 with interest; the Defendants’ counterclaim was dismissed and costs awarded.
INTRODUCTION
The Plaintiffs have sued the Defendants jointly and severally for inter alia the following reliefs:
a) A declaration that per the distribution agreement dated 1st January 2014 between the 1st Plaintiff and E&J Starz Inc. the 1st Plaintiff has exclusive rights to import, distribute sell and market the non-alcoholic food beverage branded or known as Starz Energy Drink in West Africa
b) A declaration that the 1st Defendant has breached the 1st Plaintiff’s exclusive distribution rights by importing, marketing, promoting, distributing, and selling Starz Energy Drink in Ghana and within the West African sub-region without the consent permission and or authorization of the 1st Plaintiff
c) An order for perpetual injunction restraining the Defendants from importing, distributing, marketing and selling Starz Energy drink in Ghana and anywhere in the West African subregion to protect the 2nd Plaintiff’s exclusive distributorship rights
d) An order of Interlocutory Injunction restraining the Defendants from further distributing, marketing, promoting, and selling any Starz Energy Drink Already imported into Ghana and anywhere in the West African Sub region
e) General damages for fraud, conversion, loss of business inducing a breach of the 1st Plaintiffs contract with the Producers and a violation of the Plaintiff’s exclusive rights of importation and distribution
f) Recovery of the sum of Two Hundred and Thirty-Five Thousand Two Hundred Ghana Cedis (Gh235, 200) being proceeds of sale of the products from the Defendant
g) Two Hundred and Thirty-Five Thousand Two Hundred Ghana Cedis (Gh235,200) being the proceeds of sale of the defendant
h) Interest on the sum of Two Hundred and Thirty-Five Thousand Two Hundred Ghana Cedis (Gh235, 200) being proceeds of sale of the products from the Defendant
i) Recovery of Plaintiff’s consequential losses in the sum of Two Hundred and Forty-Five Thousand Eight Hundred and Sixty-One Ghana Cedis (245, 861.87) as at the date of the issuance of the writ and any other losses thereafter from the Defendants.
PLAINTIFFS’CASE
The joint amended statement of claim filed on the 19th of April, 2018 discloses the case of the Plaintiff which may be summarized as follows;
The 1st Plaintiff is a Ghanaian registered company which has exclusive rights to import, market, distribute and sell a non-alcoholic beverage known as Starz Energy Drink (the Product) in Ghana and the West African sub-region.
The 2nd Plaintiff is a sister c