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CaseLaw

Chacharos Vs. Ekimpex (1988) CLR 1(b) (SC)

Judgement delivered on January 22nd 1988

Brief

  • Carriage of goods by sea
  • Contract of affreightment – Parties to
  • Liability for delay and damage to goods
  • Rights of assignee/consignee against Consignor
  • Ship-owners
  • Privity of contract
  • Rights of parties under Bill of Lading Act 1855, Section 1 – Effect
  • C.I.F. contracts - Meaning of
  • Admiralty jurisdiction of the Federal High Court
  • S.7(l)(d), Federal High Court Act
  • Carriage of goods by sea - Whether an admiralty matter

Facts

The amount of litigation that has taken place in this matter is reflected by the size of the record of proceedings in the courts below which has run up to 450 pages and the size of the briefs filed by each party to this appeal. The brief filed by the appellant ran up to 45 pages of the foolscap length type sheets while the brief filed by the respondents ran up to 81 pages.

The claims filed by Ekimpex Limited the plaintiff - 1st respondent in this appeal in the Federal High Court holden at Port Harcourt on the 26th day of September, 1977 as set out in the writ reads:

“The plaintiffs claim against the defendants jointly and severally is for a declaration:

  • 1a
    that the plaintiff is entitled to the delivery of 18,000 tons (360,000 bags) of cement now on board the ship M.V. Cindy presently moored at Bonny, a place within the jurisdiction of this Honourable Court;
  • b
    That the plaintiff is entitled to the delivery of 5 barges, one tug boat and two mobile cranes now on board the said ship, M vs. Cindy
  • 2
    An order of court that the said 18,000 tons (360,000 bags) of cement, the 5 barges, one tug boat and the mobile cranes be delivered to the plaintiff by the defendants or their total value N800.000."

This claim was amended in paragraph 24 of the amended statement of claim to read as follows:

"After all efforts to make defendants deliver the said cement had failed, plain¬tiff was compelled to file this action and claims against the defendants jointly and severally as follows:

  • 1
    A declaration that the plaintiff is entitled to the delivery of 18,000 tons (360,000 bags) of cement, the five (5) barges, and (1) tug boat and two (2) mobile cranes also carried to Port Harcourt by the M.V. Cindy;
  • 2
    An order of court that the said 18,000 tons (360,000 bags) of cement, the five (5) barges, one (1) tug boat and the two (2) mobile cranes be delivered to the plaintiff by the defendants;
  • 3
    N1,115,668.96 (One million one hundred and fifteen thousand six hundred and sixty eight Naira ninety six kobo) special and general damages for breach of contract to deliver the said cement on time and for carrying additional cargo.

This claim was amended in paragraph 24 of the amended statement of claim to read as follows:

Particulars of Special Damages

  • 1
    Additional Bank charges on the letter of credit N60.000.00
  • 2
    Loss of profit N180,000.00
  • 3
    Additional discharge fee paid to Mcdermott Nig. Ltd. N115,668.96
  • 4
    Loss on damaged bags of cement N200.000.00
  • Total N555.668.96
    General Damages N460.000.00
    Grand Total N1,115,668.96

The 4th defendants filed a defence and counterclaim and by paragraph 39 thereof counterclaimed as follows:

  • 39
    "the 4th defendants therefore claim as follows:
    • a
      495,000.00 US Dollars (N308.930.91) being unpaid freight for the 18,000 tons of cement carried by Cindy to Port Harcourt;
    • b
      352,000.00 US Dollars (N219.684.00) being damages for delay (de¬murrage) of the vessel Cindy;
    • c
      Delivery of the 5 barges, 1 tug boat, 2 Motor cranes or N500.000.00 being their value.

Pleadings were filed and delivered or served and at the close of pleadings, the issues raised on the pleadings came up for trial before Tofowomo, J. After hearing evidence called by the parties, he delivered a considered judgment. He observed that throughout the proceedings, the 1st and 2nd defendants, though served, never appeared to contest the case.

The trial Judge at the conclusion of the case found for the plaintiffs as per its statement of claim against all the defendants.

The 3rd and 4th defendants appealed against the judgment of the trial Court. Their appeal to the Court of Appeal was partly successful. They further appealed to the Supreme Court and for the first time challenged the jurisdiction of trial Court to try the matter. The Respondents also cross-appealed against the ground of appeal allowed by the Court of Appeal.

Issues

  • 1
    Whether a question as to the jurisdiction of a Court to hear a matter can...
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