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MORKOR
V.
KUMA (NO 1)

(1999) JELR 68192 (SC)

Supreme Court 19 May 1999 Ghana
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- The Supreme Court set aside the decision holding the company director personally liable, reaffirming the principle of corporate personality: directors are not personally liable for company debts absent proven fraud, improper conduct, or u

Case Details

Judges:EDWARD WIREDU JSC, KPEGAH JSC, ADJABENG JSC, ACQUAH JSC, AKUFFO JSC
Counsel:OPOKU ADJEI (WITH HIM SOMUA-ASAMOAH) FOR THE APELLANT,S K B MATANAWUI FOR THE RESPONDENT
Other Citations:[1999-2000] 1 GLR 721


EDWARD WIREDU JSC.: I have had the privilege to read beforehand the able and learned opinion about to be read by my sister Akuffo JSC. I agree with her reasons and conclusion that the plaintiff’s action be dismissed and I have nothing more useful to add.


AKUFFO JSC: Pursuant to a sale agreement dated 22 May 1990 and made between the respondent herein (acting as the agent for Faroe Sea Food of Faroe Island) and East Coast Fisheries Ltd (hereinafter referred to as the first defendant), 400 metric tons of frozen fish, valued at $180,000, was supplied to the first defendant. That the consignment was received is not in serious dispute.

The appellant, as a director, and another director witnessed the execution of the agreement by the first defendant. In accordance with the agreement, the first defendant paid a deposit of $16,000. The remaining balance, being $171,000 was to be paid by 30 August 1990. The payment of the said balance was guaranteed by one Sammy Quaye of Bossogie Engineering Ser…

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