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DUMEZ NIGERIA PLC. V. UBA PLC.

(2006) JELR 33149 (CA)

Court of Appeal  •  CA/A/5/2003 (1)  •  30 Mar 2006  •  Nigeria

Coram
IBRAHIM TANKO MUHAMMAD JCA; MARY UKAEGO PETER ODILI JCA; OLABODE RHODES- VIVOUR JCA;

Judgement

RHODES-VIVOUR, J.C.A. (Delivering the Leading Judgment): This is an appeal from the decision of the High Court of the Federal Capital Territory, Abuja Coram: Kusheriki J. in the ruling in Suit No. FCT/HC/CV/130/02 delivered on the 12th of November, 2002.

The facts of this case are rather straight forward. The appellant awarded a contract to Elecktrint Nig. Ltd. (hereinafter called the contractor). The contractor was to do some work on the appellant's office in Abuja. The appellant demanded from the contractor:

(a) An advance payment guarantee, and

(b) A performance bond.

The respondent produced both, dated 27/9/01 and 1/12/2000 respectively, and entered into a collateral contract with the appellant on behalf of the contractor; its customer to pay on first demand to the appellant the sums stated therein in the unlikely event the contractor failed to carry out the contract. There was disagreement between the contractor and the appellant, and so the contractor filed suit no.LD/284512001 …

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