Bontus Nigeria Limited V. Sifa Projects Nigeria Limited (2012)

LawGlobal-Hub Lead Judgment Report – COURT OF APPEAL

ABUBAKAR JEGA ABDUL-KADIR, J.C.A. (Delivering the Leading Judgment)

This is an appeal against the judgment of Enugu State High Court per A. A. Nwobodo, J. delivered on the 2nd day of March, 2010.

The facts leading to this appeal are stated thus:-

The Respondent as Plaintiff obtained Judgment against the Defendant/Appellant under the Summary Judgment Procedure of the High Court of Enugu State for the sum of Seven hundred thousand Naira (N700,000.00) being debt owed the Plaintiff by the Defendant.

The said debt arose out of a contract for the sale of Land wherein the defendant bought a parcel of land from the plaintiff at the price of Fourteen Million Naira (N14,000,000.00). The defendant paid a deposit of Four Million Naira (N4,000,000.00) leaving a balance of ten million naira (N10,000,000.00). Under the terms of the contract which was reduced in writing, the defendant was to pay the balance of N10,000,000.00 in five monthly instalments of N2,000,000.00 per month.

In compliance with the agreed terms of the contract the defendant paid N8,000,000.00 in four installments of N2,000,000.00 each but paid N1,300,000.00 in the last installment thereby leaving a shortfall of N700,000.00. Upon being served with the writ of summons, the defendant filed a notice of intention to defend with supporting affidavit and relevant documents. Both the plaintiff and defendant placed reliance on the Written Pre-contract Agreement signed by both parties.

The defendant in his defence said that he used the N700.000.00 to settle professional fees of one Johnson Okegbe, the Solicitor, who drafted the Pre-contract Agreement for the parties. He said that it was part of the said agreement that he should pay the said solicitor from the plaintiffs money.

The trial judge, after hearing counsel for both parties adopting their written addresses delivered a reserved judgment wherein he entered judgment for the plaintiff.

The Appellant being dissatisfied with the judgment of the trial court appealed to this court vide his Notice of Appeal dated 19th day of March, 2010 containing three grounds of appeal.

The appeal was heard on the 3/10/12. Counsel to the Appellant Mr. C. I. Obika informed the court that the Appellant’s brief of argument is dated 11/5/11 and filed on 13/5/11 counsel adopted the brief of argument and urged the Court to allow the appeal and set-aside the judgment of the lower court.

Mr. C. C. Okoro counsel to the Respondent states that the Respondent’s brief of argument is dated 9/5/11 and filed on 16/5/11, he adopted the brief and urged court to dismiss the appeal and uphold the judgment of the lower court. From the three grounds of appeal the Appellant formulated three issues for determination which are stated thus:-

ISSUE 1

Whether the Honourable trial Court did not err in law when it failed to hear from Mr. Johnson Okegbe Esq. of counsel who indeed prepared the pre-contract agreement and had averred on oath that parties had agreed that the said sum be paid over to him and thereby denied the appellant his constitutional right to fair hearing.

ISSUE No.2