On Thursday, a High Court of the Federal Capital Territory (FCT) sitting in Kuje ordered a new generation bank to pay N34.4 million in damages and compensation to Tripple C Motors, a Kano-based auto dealer.
The court, in its ruling handed by Justice Chinyere Nwecheonwu, stated that it was satisfied that the Claimant’s money was unjustly kept for 43 months without explanation.
Aside from the bank, the other defendants in the case were Pagmat Oil and Gas Nig. Ltd and Prudential Steps Savings & Loan.
According to the court, the evidence presented in the case revealed that the Claimant was entitled to a payment of N86 million from the defendants within 30 days after his delivery of seven cars on December 28, 2018.
In a nutshell, it said that the defendants were liable to compensate the claimant for improperly holding onto the claimant’s money during a commercial transaction because of their refusal and failure to pay the claimant the sum of N86 million for the supply of cars made by the claimant for and at the defendants’ instance as at when due.
The court further declared that the defendants’ refusal and failure to pay the claimant the sum of N86 million for the supply of cars ordered as soon as it was due caused the claimant to lose profits or earnings in the amount of at least N4.3 million per month for 43 months, totaling at least N34.4 million for the period, and made the defendants liable to the claimant for damages.
In addition, the court issued a ruling ordering the defendants to reimburse the claimant for N34.4 million in predicted returns and/or lost profits/earnings during the 43 months that the claimant’s funds were withheld.
In addition, Judge Nwecheonwu mandated that 10% of the judgement amount be paid annually starting on the day of the judgement and continuing until the debt is entirely paid off. The claimant, however, requested compensation in the form of N6 million to pay the costs he spent during the suit’s prosecution, but the court denied his request.
The Claimant stated in the process he filed through his lawyer, Mr. Ojonimi S. Apeh, that he delivered the vehicles based on the fact that a Block Funds/Irrevocable Standing Order, dated December 20, 2018, was issued by the Utako branch Manager of Fidelity Bank and handed over to the company’s Director, Dr. Adamu Kukuri.
The Claimant also said that no money was placed into the company’s account as stipulated after 30 banking days after the delivery of the seven vehicles.
Conclusion
While the court denied the claimant’s request for N6 million in legal costs, the substantial compensation awarded provides a significant remedy for the prolonged withholding of funds.
This ruling not only addresses the immediate case but also sets a precedent for the handling of similar commercial disputes, emphasizing the necessity for transparency and adherence to contractual agreements in business transactions.
