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TEXACO AFRICA LTD.
V.
BEDU

(1977) JELR 83395 (CA)

Court of Appeal 1 Mar 1977 Ghana
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- The Court of Appeal held that a dealership agreement, even if framed as a licence, was in substance a contract of service terminable by either party on notice per its terms; wrongful termination, if any, sounds only in damages, not injunc

Case Details

Judges:APALOO, LASSEY AND KINGSLEY-NYINAH JJ.A.
Counsel:Kudjawu for the appellant-company. Ofori for the respondent.
Location:Accra
Other Citations:[1978] GLR 307-316

JUDGEMENT

APALOO J.A.

The respondent (whom we shall hereafter call the plaintiff) seems to be a man of business. The appellant-company is a limited liability company incorporated in Canada and has its local office on Derby Avenue, Accra. The company deals in petroleum goods and allied products and has a service station at the Airport Road in Accra. The plaintiff was minded to operate this station and on the company agreeing to this, the latter "licensed and authorised" the plaintiff, his servants and agents to enter into and occupy the station for this purpose. To regulate their mutual rights and obligations the parties entered into a written agreement dated 12 June 1967. That agreement is extremely detailed and both parties entered, for the benefit of each other, a number of covenants.

As is usual in this type of commercial contract, clause (2) of the agreement spelt out the duration of the agreement and the mode by which it could be determined in these words:

"This agreement shall be f…

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