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V.
OZIGI

(1994) JELR 43390 (SC)

Supreme Court 25 Mar 1994 Nigeria
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- In 1982, the respondent borrowed money from the appellant to complete a restaurant. A disagreement arose in 1988 over the loan's interest rate, with the respondent claiming it was fixed at 11%, while the appellant argued it was variable.

Case Details

Suit Number:SC.159/1991
Judges:MUHAMMADU LAWAL UWAIS Justice of The Supreme Court of Nigeria OLAJIDE OLATAWURA Justice of The Supreme Court of Nigeria MICHAEL EKUNDAYO OGUNDARE Justice of The Supreme Court of Nigeria EMMANUEL OBIOMA OGWUEGBU Justice of The Supreme Court of Nigeria YEKINI OLAYIWOLA ADIO Justice of The Supreme Court of Nigeria
Counsel:S.A Bello, Esq. For Appellant Chief W. Olanipekun SAN (with him, B. Enrinmaiye) For Respondent
Other Citations:U.B.N. v. Ozigi (1994) 3 NWLR (Pt.333) 385 (1994) 3 SCNJ 42

ADIO, JSC (Delivering the Leading Judgment): The respondent, a customer of the appellant, in 1982, obtained a loan of ₦250,000.00 from the appellant to enable the respondent complete a restaurant in Ilorin. The terms under or subject to which the loan was granted were set out in two deeds of mortagage, Exhibits 5 and 6. He was making payment to the appellant until 1988 when there was a disagreement between the appellant and the respondent on the question of the rate of the interest chargeable on the loan. The respondent was of the view that the rate was 11% throughout the period of repayment and, for that reason, the balance of the loan-outstanding was ₦116,076,10. The appellant maintained that the rate of the interest chargeable was not fixed. It was empowered by the mortgage agreements to stipulate the rate of interest from time to time and pursuant to the exercise of that power, the appellant had from time to time, after the granting of the loan, stipulated rates of interest higher…

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