rahisi general merchant co ltd vs turkanya co ltd 3 others 2023 tzhccomd 182 23 june 2023

rahisi general merchant co ltd vs turkanya co ltd 3 others 2023 tzhccomd 182 23 june 2023

The 1st defendant, as the only party to the construction contracts with the plaintiff, breached the agreements by failing to perform the contracted works despite receiving payments and materials. The 2nd, 3rd, and 4th defendants, not being parties to the contracts, are not liable. The plaintiff is entitled to recover the sums paid, interest, and costs from the 1st defendant.

Citation
rahisi general merchant co ltd vs turkanya co ltd 3 others 2023 tzhccomd 182 23 june 2023
Parties
Plaintiff: Rahisi General Merchant Company Ltd; 1st Defendant: Turkanya Company Limited; 2nd Defendant: Ercan Ozdemir; 3rd Defendant: Yahaya Hamad Khamis; 4th Defendant: Christina Aloyce Senya
Court
TZHCCOMD
Jurisdiction
Tanzania
Judgment Date
23 June 2023
Procedural Posture
Commercial Case / Default Judgment After Defence Struck Out
Outcome
Judgment for the plaintiff against the 1st defendant; claims against 2nd, 3rd, and 4th defendants dismissed.
Legal Topics
Breach of Contract, Construction Contracts, Corporate Liability, Damages, Interest on Judgment Debt
Source Language
English
Contract Law Commercial Law Breach of Contract Construction Contracts Corporate Liability Damages Interest on Judgment Debt

Case Brief

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Parties

Rahisi General Merchant Company Ltd

Plaintiff

Turkanya Company Limited

1st Defendant

Ercan Ozdemir

2nd Defendant

Yahaya Hamad Khamis

3rd Defendant

Christina Aloyce Senya

4th Defendant

Procedural Posture

Commercial Case / Default Judgment After Defence Struck Out

Legal Issues

  1. 1 Whether the 1st defendant breached the construction contracts with the plaintiff
  2. 2 Whether the 2nd, 3rd, and 4th defendants are liable under the contracts
  3. 3 Whether the plaintiff is entitled to damages and interest

Ratio Decidendi

The 1st defendant, as the only party to the construction contracts with the plaintiff, breached the agreements by failing to perform the contracted works despite receiving payments and materials. The 2nd, 3rd, and 4th defendants, not being parties to the contracts, are not liable. The plaintiff is entitled to recover the sums paid, interest, and costs from the 1st defendant.

Court Disposition

Judgment for the plaintiff against the 1st defendant; claims against 2nd, 3rd, and 4th defendants dismissed.

Orders

  • Declaration that the 1st defendant is in breach of the construction contracts dated 15th and 25th September 2021.
  • 1st defendant to pay the plaintiff Tshs. 123,962,000.