Adepetu & Company Nigeria Ltd V. First Bank of Nigeria Plc. (2008)

LawGlobal-Hub Lead Judgment Report

ALI ABUBAKAR BABANDI GUMEL, J.C.A.

This is an appeal against the decision of the Ondo State High Court, Ondo Division in Suit No. HOD/107/90. The Respondent, as plaintiff before the lower Court, sought for the following reliefs as set out in its 2nd further amended statement of claim They are:-

i. A DECLARATION that the defendant cannot unilaterally vary the terms of agreement existing between the plaintiff and defendant as regards the unilateral variation of rate of interest from 19.3% to 28.5% on the overdraft facilities the defendant granted to the Plaintiff.

ii. AN ORDER setting aside the unilateral and wrongful and illegal variation of the rate of interest referred to in (i) supra.

iii. A DECALARATION that the opening or Creation of Account No. 005 in the name of the plaintiff without the knowledge, consent and approval of the Plaintiff is wrongful, illegal null and void and of no effect whatsoever.

iv. AN ORDER setting aside the said account No. 005.

v. The sum of N6,427.676.00k (Six Million, Four Hundred and Twenty Seven Thousand, Six Hundred and Seventy Six Naira) as damages for loss of profit on the plaintiff’s business transactions with lIe-Oluji Cocoa Products Company Ltd., embargo placed on the Plaintiff’s account with the defendant.

VI. The sum of N918,516.60K (Nine Hundred and Eighteen Thousand, Five Hundred and Sixteen Naira, Sixty Kobo) being the loss suffered by reason of overcharged interests and unauthorized debit notes, effected by the defendant in respect of the Plaintiff’s account with the defendant.

vii. The sum of N2,228,950.00k (Two Million, Two Hundred and Twenty-eight Thousand, Nine Hundred and Fifty Naira) as general damages.

After joining issues in the pleadings the matter went through a very tortuous and prolonged trial. In a judgment delivered on 27th September, 1996, the learned trial Judge entered judgment for the Plaintiff in the sum of N3,986,724.49k (Three Million Nine Hundred and Eighty Six Thousand, Seven Hundred and Twenty Four Naira Forty Nine Kobo). The Defendant/Appellant was dissatisfied with this judgment and filed this appeal by way of a notice of appeal dated 6th November, 1996. The notice of appeal contains 5 grounds with copious particulars. The grounds, shorn of their particulars are:-

1) The entire decision is against the weight of evidence;

2) the learned trial Judge erred in law by not disposing of the Suit within a reasonable time after the commencement of the evidence of the witnesses and addresses by Counsel to the parties;

3) the learned trial Judge would have lost memory and advantage of having seen and heard the witnesses because of the considerable period of time between the hearing of the evidence and the delivery of judgment;

4) The learned trial Judge erred in law when he awarded damages for loss of anticipated profit