Tanzania Case Law

tsn oil tanzania limited others vs equity bank t limited another 2023 tzhccomd 361 3 november 2023

Court

TZHCCOMD

The Plaintiffs repaid all credit facilities to the Defendants using funds from Barak Fund. The SBLC Facility dated 26 March 2018 did not take effect as the secured event (a written loan agreement between all Plaintiffs and Barak Fund) never materialized, and no valid SBLC was issued under that facility. The Defendants' refusal to discharge collaterals after repayment constituted a breach. The Defendants' counterclaims failed for lack of proof and because the underlying facilities were not enforceable. The Plaintiffs are entitled to discharge of all collaterals, declaratory reliefs, general da…

Source excerpt

• Loan facility agreements
• Standby letters of credit (sblc)
• Mortgage discharge
• Foreign loan registration
• Breach of contract
• Counterclaims in banking disputes

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om agro t ltd vs bank of africa t ltd 2023 tzhccomd 302 17 august 2023

Court

TZHCCOMD

The defendant did not breach the banker's customer relationship as all transactions were authorized by the facility letter, which permitted direct payments to cashew unions and other agreed recipients; the plaintiff failed to prove unauthorized transactions or rebut the defendant's evidence.

Source excerpt

• Banker-customer relationship
• Unauthorized transactions
• Loan facility agreements
• Breach of contract
• Burden of proof

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CIVIL APPEAL NO 193 OF 2023 EXIM BANK TANZANIA LIMITED VS THE M FIVE B HOTEL TOURS LTD 2 OTHER

Court

TANZLII

The appellant did not breach any term of the loan facility agreement as there was no contractual obligation to manage the respondent's account; the High Court erred in finding breach and voidness. The respondents failed to repay the loan as agreed and are liable for breach. The loan facility transaction was not void under Tanzanian contract law.

Source excerpt

• Breach of contract
• Banker-customer relationship
• Loan facility agreements
• Negligence
• Fraud
• Void contracts

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STANBIC BANK T LTD VS BOAZ SAIMON ILOMO COMM CASE NO

Court

TANZLII

The defendant-counter claimant breached the loan facility agreements by failing to repay the loan as contracted. The plaintiff bank breached the banker-customer fiduciary relationship by making unauthorized deductions and failing to communicate the basis for such deductions or exchange rates applied. No sufficient evidence was provided to establish wrongful advice by the 2nd counter defendant. Reliefs are granted accordingly, offsetting the unauthorized deduction from the outstanding loan amount.

Source excerpt

• Loan facility agreements
• Banker-customer relationship
• Breach of contract
• Fiduciary duty
• International funds transfer

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CIVIL APPEAL NO 382 OF 2023 EQUITY BANK TANZANIA LIMITED ANOTHER VS NAS HAULIERS LIMITED 10 OTHERS

Court

TANZLII

The Court found that the SBLC/LC was issued by Equity Bank Kenya Limited as required, the loan was disbursed to all three respondents, and the respondents defaulted on their obligations, triggering the bank's liability. The High Court erred in its findings regarding the non-issuance of the SBLC/LC, the non-disbursement of the loan, the award of general damages, and the interpretation of the Land Act. The appellants' counterclaim was proved and should be allowed.

Source excerpt

• Standby letter of credit (sblc)
• Loan facility agreements
• Mortgage security
• Counterclaim procedure
• General damages
• Assignment of rights

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standard chartered bank hong kong limited and one another vs independent power tanzania limited and 2 others 2022 tzhccomd 8 11 january 2022

Court

TZHCCOMD

The High Court granted leave to appeal in a foreign-judgment registration dispute, finding the proposed appeal raised arguable issues under the Reciprocal Enforcement of Foreign Judgments Act.

• Registration of foreign judgments
• Leave to appeal
• Standing to challenge registration
• Loan facility agreements
• Leave-to-appeal
• Foreign-judgments

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kai ltd vs crdb bank plc 2012 tzhccomd 64 14 december 2012

Court

TZHCCOMD

The court ordered return of a withheld title deed after finding the loan had been repaid and security documents should have been released. General damages were awarded.

• Loan facility agreements
• Security for loans
• Breach of contract
• Damages for loss of property
• Bank's duty of care
• Banking-law

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