Agrovet Sincho Pham Ltd. & Anor. V. Estate Of Engr. Dahiru & Ors. (2013)

LawGlobal-Hub Lead Judgment Report – COURT OF APPEAL

ITA G. MBABA, J.C.A (Delivering the Leading Judgment)

This is an appeal against the judgment of Kano High Court, presided over by Mohammed Umaru Alkali J. in suit No. K/609/95, delivered on 31st, day of July, 2002, wherein the court held for plaintiff (now Respondents).

The 2nd Appellant, as managing Director of 1st Appellant, in March, 1995 had sold to the Respondent, Engineer Dahiru Dawaki, (now late and represented by his Estate & 11 Ors) all that property situate and known as No. 86 Ogbomosho Avenue, Sabon Gari, Kano, covered by Certificate of Occupancy No. LKN/COM/91/44, belonging to the 1st Appellant, at the total cost of N3.9 million. At the conclusion of negotiations the Respondent made a part payment of N1.5 million to the 2nd Appellant, through Mr. M.T. Badamasi, who the 2nd Appellant claimed was introduced to him as lawyer and agent of the plaintiff/Respondent.

The terms of the oral agreement were later reduced into writing by the 2nd Appellant, as per Exhibit I, a letter to the Respondent dated 21st March, 1995. The Respondent later made further payment of N400, 000.00 to the 2nd Appellant, also through Badamasi and receipts of the two payments were issued to M.T. Badamasi in his name – Exhibits 2 and 3. The balance of N2 million was not paid by the Respondent before the alleged date line for payment expired, despite repeated demand by the Appellants. The Appellants thereafter, by their Counsel, Messrs Ibrahim M. Boyi & Co, returned the sum of N1.9 million to the Respondent through M.T. Badamasi.

That was in August, 1995, as per Exhibit 4. A meeting was thereafter held at the instance of the Appellant and M.T. Badamasi wherein it was agreed that the Appellants should pay the Respondent the sum of N350, 000.00, as interest and the Appellant paid the same to the said M.T. Badamasi. Sequel to the return of the said sum of N1.9 million and payment of N350, 000.00 as interest on the N1.9 million, the Respondent took out this action in November, 1995, claming against the Appellants as follows:

“A declaration that there is s valid contract of sale between the plaintiff and the 1st Defendant in respect of the property belonging to the 1st Defendant situate at No. 86 Ogbomosho Avenue, Sabon Gari, Covered by Certificate No. LKN/COM/91/44. An order of specific performance of the said contract. Or in the alternative. A mandatory injunction compelling the 1st defendant to receive the balance of the purchase price N2 million, being the amount outstanding on the contract of sale.

A declaration that the plaintiff is entitled to the statutory right of occupancy in respect of the said property.

Damages assessed at the current market of value of the property.”

At the End of the trial, after hearing all parties and their witnesses, and the addresses of Counsel on both sides, the trial Court on 31st July, 2002 held for the plaintiff (Respondent) as follows:

“Consequently, judgment is hereby entered in favour of the plaintiff as per his statement of claim viz:

(A) declaration that there is a valid contract of sale between the plaintiff and 1st defendant in respect of a house situate at No. 86 Ogbomosho Avenue, Sabon Gari, Kano, covered by Certificate of Occupancy No. LKN/CON/COM/91/44

(B) (i) An order of specific performance of the said contract in the alternative

(it) A mandatory injunction compelling the 1st defendant to receive the balance of the purchase price i.e. N2 million being the amount outstanding on the contract.

(C) A declaration that the plaintiff is entitled to statutory right of Occupancy in respect of the property located at No. 86 Ogbomosho Avenue, Sabon Gari, Kano is also granted.”