CORAM

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BODE RHODES -VIVOUR     JUSTICE, SUPREME COURT

M.L. UWAIS, CHIEF JUSTICE, NIGERIA

ELFRIEDA OLUWAYEMISI WILLIAMS-DAWODU JUSTICE OF THE COURT OF APPEAL

O. ACHIKE JUSTICE, SUPREME COURT

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PARTIES

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F.S.B. INTERNATIONAL BANK LTD APPELLANTS

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IMANO NIGERIA LTD & ANOR RESPONDENTS

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AREA(S) OF LAW

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SUMMARY OF FACTS

The plaintiff, herein respondent instituted this action against the 1st defendant, herein appellant and the 2nd defendant, known as Agricultural and Food Processing Installation Limited. The claim ran as follows:- From the 1st Defendant, the sum of N2,062,500 (two million, sixty two thousand, and five hundred naira only) being the total value of the First, Second and Third Promissory Notes of N687,500.00 each, which have been due and presented but dishonoured. ii. Against the 2nd Defendant, the sum of N4, 432,085,(four million, four hundred and thirty-two thousand and eighty-five) being the total value of the remaining Promissory Notes Nos. 4 to 9 inclusive and the variation on the same as at the date of this Writ and in accordance with clause 3, Appendix B of the said agreement dated the 28th August, 1987, whose breach by the 1st Defendant’s failure to honour its confirmation and guarantee renders the whole sum in the Agreement due.

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HELD

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That the appellant’s statement of defence was properly filed and the Court Order that the appellant should be let in to defend the suit.

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ISSUES

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1. Whether the appellant from all the material placed before the court, pursuant to Order 10 of the High Court of Lagos State (Civil Procedure) Rules, 1972, had shown a good defence to the respondent’s action. 2. Whether or not a person who merely confirms the signature of another on promissory notes at the express request of a third party automatically becomes liable as endorser of the promissory notes and therefore becomes a holder in due course under the law governing Bills of Exchange and Promissory Notes.

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RATIONES DECIDENDI

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IMPORTANCE OF STATEMENT OF DEFENCE IN SUMMARY JUDGMENT PROCEDURE

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A statement of defence, be it irregularly filed or any document whatsoever in addition to the affidavit to show cause would be worthy of the court’s attention before signing of judgment under Order 10

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CONFLICT IN AFFIDAVIT – HOW RESOLVED

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When a court is faced with affidavits which are irreconcilably in conflict, the judge hearing the case, in order to resolve the conflict properly, should first hear oral evidence from the deponents or such other witnesses as the parties may be advised to call. –

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CASES CITED

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1.U.B.A. Ltd. v. Dike Nwora (1978) 11 & 12 SC.1 at pp 6 and 72.Falobi v. Falobi (1976) NMLR 1693.Sylvanus Mortune v. Alhaji Mohammed Gambo (1983) 4 NCLR 237 at 242

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STATUTES REFERRED TO

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Not Available|

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