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TONONOKA STEELS LIMITED
V.
EASTERN AND SOUTHERN AFRICA TRADE AND DEVELOPMENT BANK

(1999) JELR 94254 (CA)

Court of Appeal 13 Aug 1999 Kenya
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Case Details

Suit Number:civ app 255 of 98
Judges:Philip Kiptoo Tunoi, Abdulrasul Ahmed Lakha, Richard Otieno Kwach
Location:Nairobi
Other Citations:TONONOKA STEELS LIMITED v. EASTERN AND SOUTHERN AFRICA TRADE AND DEVELOPMENT BANK[1999] eKLR

JUDGMENT OF KWACH,JA

TONONOKA STEELS LIMITED , the appellant in this appeal, (hereinafter called Athe Borrower @), sued the EASTERN AND SOUTHERN AFRICAN TRADE AND DEVELOPMENT BANK, the respondent herein, to which I shall hereinafter call APTA Bank @, in the superior court, to recover damages (special and general) for alleged breach of contract and a perpetual injunction restraining PTA Bank from appointing a receiver to manage the Borrower=s factory or exercising any of the options available to it under the Loan Agreement dated 1st December, 1994 and Facility Agreement dated 4th December, 1996. The plaint is a rumbling document running into some 50 odd paragraphs.

The Loan and Facility Agreements were secured by a Further Charge on the plaintiff=s piece of land Plot L.R. No . 9042/164/5 Embakasi, Nairobi, a Deed of Guarantee issued by First American Bank Limited and Personal Guarantees of all the directors of the Borrower. It was a term of the contract that the facility would run for 1…

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