S. A. Uredi V. Jacob O Dada (1988)

LawGlobal-Hub Lead Judgment Report

CRAIG, J.S.C. 

The Plaintiff’s claim in the High Court of Lagos State was as follows:

“The Plaintiff’s claim against the Defendants jointly, severally or in the alternative is for sum of N100, 000.00 (One Hundred Thousand Naira) being special and general damages for breach of an oral contract when in or about January,1976 at Lagos the Defendants induced the Plaintiff to hand over to them sum of N50, 000.00 (Fifty Thousand Naira) which they promised they would refund back to him upon the completion of the contract which they claimed they were then executing at or around the Festival Village along Badagry Road which they told the Plaintiff was bringing them large amounts of profits which they promised they would share with the Plaintiff.

The Defendants have since completed the contract but have only after persistent demands refunded to the Plaintiff N4, 000.00 (Four Thousand Naira) out of the said N50, 000.00 (Fifty Thousand Naira) leaving a balance of N46,000.00 (Forty Six Thousand Naira) which they refused and or neglected to pay nor have they given the Plaintiff any share of the profits as promised.”

Pleadings were ordered and exchanged; and thereafter the case went on to trial. At the hearing, the Plaintiff gave evidence that he and the 1st Defendant had been close business associates in the North, later when the 1st Defendant was transferred to Lagos; the Plaintiff saw him in December 1975 and had discussions about doing further business together. They subsequently concluded an oral agreement involving N50,000.00. The Plaintiff gave the following particulars of the agreement in his evidence:

“The first Defendant told me he had a personal contract awarded to him at the Festival Village. He told me the job was a big and profitable one … He then suggested that I should bring some money towards the execution of the job and both share the profits. He told me that within 3-4 months I would be very rich as the contract was a profitable one.

I asked him how much he wanted me to deposit for the contracts. He asked me for N50, 000.00…

He further assured me that he was being paid monthly for the contract and that at the end of each month he would share the profit with me until the completion of the job when the N50,000.00 would be refunded to me”

The Plaintiff returned to his base in Zaria and by February 1976, he had paid the 1st Defendant a total sum of N50,000.00. The Plaintiff testified further:

“According to the agreement between us, I was to receive my first share of the profits at the end of March, 1976. At the end of March, the 1st Defendant did not give me my money. The same thing happened at the end of April, 1976 It was towards the end of July, 1976 that the 1st Defendant gave me some money.”

Altogether the Plaintiff has been paid the sum of N13,000.00 and he now claims the balance of N37, 000.00 in addition to the profits accruing to him on the money invested in the business. At some stage in the execution of the transaction, the Plaintiff pressed for a written acknowledgement of the moneys which he had paid, and the 1st Defendant sent him a letter Exhibit B which he signed as Managing Director of a Company and which tended to portray that the Plaintiff had business dealings with Messrs Ferou (Nigeria)

Ltd. The letter reads as follows:

“FEROU (NIGERIA) LIMITED

Building & Civil Engineering Contractor