International Starchem Industries Limited V. African Newspapers Of Nigeria Limited (2014)

LawGlobal-Hub Lead Judgment Report – COURT OF APPEAL

MONICA BOLNA’AN DONGBAN-MENSEM, J.C.A. (Delivering the Leading Judgment)

This is an appeal against the judgment of Hon. Justice Mashud A. A. Abass (J), of the High Court of Justice, Oyo State, Ibadan Judicial division, delivered on the 1st day of August, 2008 in which the learned trial judge granted part only of the claim of the Plaintiff. (Pages 107-113 of the record)

The Appellant was the Plaintiff while the Respondent was the Defendant at the trial court. They shall be referred to simply as Appellant and Respondent respectively. The Appellant at the trial court initially filed this matter on the 10th October, 2002 under the undefended list before it was later transferred to the general cause list.

The claim of the Appellant against the Respondent is as follows:-

a. The Plaintiff claim against the defendant is for the sum of N10, 674,360.70 (Ten Million, Six hundred and seventy-four thousand, three hundred and sixty naira, seventy kobo) being outstanding balance of N6, 249, 977. 50 (Six Million, two hundred and forty nine hundred and seventy seven naira, fifty kobo) on Newsprint supplied to the Defendant due since the 30th of April, 2002 and interest of N4, 424, 383.20 (Four Million Four Hundred and twenty four thousand, Three hundred and eighty-three naira twenty kobo) calculated therefrom at the rate of 10% per month till the 30th of September, 2002.

b. The Plaintiff also claim 10% interest calculated on any outstanding amount from 1st of October, 2002 until finally liquidated. (see pages 1-2 & 35-36 of the record)

The Respondent at the trial court admitted owing the Appellant the sum of N5, 772,950.00 leaving the balance of N4, 901,410,70. The balance is made up of N4, 424,383.20k claimed by the Appellant as pre-judgment interest, N249, 977.50k as the delivery charges and the sum of N277, 050.00 which the Respondent allegedly paid to one Elder Wole Ogunnowo whom the Respondent claimed was the agent of the Appellant.

Pleadings were filed and exchanged and the suit proceeded to hearing.

Judgment was entered partly in favour of the Appellant. That is the undisputed sum N5, 772,950.00 and the money allegedly paid to Elder Wole Ogunnowo.

The Appellants felt agitated with the decision of the learned trial Judge and filed a notice of appeal dated 17th October, 2008 and filed on the same day. The notice of appeal contains three grounds of appeal.

(Pages 114-116 of the record). I find it necessary to reproduce the grounds of appeal without their particulars and they are:-

GROUND ONE

The learned trial Judge erred in law when he stated thus;

“The provision of 10% interest per month in default of payment of the contractual sum was unilaterally introduced by the Plaintiff vide exhibit 4. It was not part of the terms of the contractual agreement contained in Exhibit 3 and 3A. I am of the considered view that such later in the day inclusion of additional terms cannot in law form part of the terms of the contractual relationship between the Plaintiff and the Defendants. I am not persuaded by the submission of the learned Counsel for the Plaintiffs that since the Defendants signed Exhibit 4, they are bound by whatever is contained therein having due regard to the facts and circumstances of this case. I am of the view and I so hold, that the Plaintiffs are not entitled to their head of claim of N4, 424, 383.20k as interest. This head of claim is accordingly dismissed”.