Respondent agreed to nominate the appellant company for the award of a computer contract. He was then appointed as the appellant's marketing consultant.

Appellant agreed to pay commission of 5% of the total contract value payable to it as at the time of final payment from its customer. The agreement would remain valid till 31st December, 1992 at which date it could be renegotiated.

Respondent then got a business contract with the Nigerian Agricultural and Co-operative Bank (N.A.C.B) which was eventually awarded to the appellant in April, 1993.

Respondent subsequently asked for the payment of the agreed 5% commission which the appellant refused to pay on the ground that their contractual relationship had lapsed on 31st December, 1992. This caused the respondent to sue the appellant.

The trial court in a reserved judgment found for the respondent and awarded him damages for breach of contract in the sum of US$430,317.01 or its naira equivalent being commission on the US$8,606,640.12 contract price of the NACB computer contract awarded the appellant with interest at the rate of 21% per annum from April, 1993 till final liquidation.

Dissatisfied with the judgment, the appellant appealed to the Court of Appeal.