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CaseLaw

UBN. Ltd V. Salami (1998) CLR 3(a) (CA)

Brief

  • Bank interest
  • Proof
  • Judgement debt
  • Judgement and order

Facts

The appellant as plaintiff at the high court of justice, Ilorin Kwara state, is a banking institution duly incorporated under the laws of the federation. The respondent as defendant was a customer to the bank. Sometimes in 1981, the respondent applied for a short term loan and overdraft in the sum of N9,000.00 from the Ilorin Branch of the appellant. The loan was approved and granted to the respondent. The loan was to be repaid within a short term. There was failure from the respondent to effect repayment within the agreed despite repeated demands by the appellants. The appellant took a specially indorsed writ wherein it makes the following claims:-

  • “The plaintiff’s claim is for the sum of N33,085.33k (thirty-three thousand eighty-five Naira thirty-three kobo) being the amount outstanding as debit in the defendant’s account with the plaintiff as a close business on 11/2/91 arising from loan and overdraft facilities extended to the defendant in 1981 at the Ilorin branch office and which said amount the defendant has acknowledge as at May, 1991 but refused to complete full payment despite repeated demands.
  • The plaintiff’s claim (sic) interest on the said sum of 25% up till December, 1990 and thereafter 21% from January, 1991 till May, 1991 and again 10% from the date of filing this action till the final liquidation.”

The writ was filed under the undefended list procedure. It was however later transferred to the General Cause list. After taking evidence from both parties the learned trial judge dismissed the appellant’s claim except in respect of the sum of N7,750.00 which he found to be the balance outstanding.

The appellant was aggrieved with the decision and it appealed

Issues

Whether the Honourable trial judge was right when he refused to award...

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