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Tanzania decisions
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The striking out of the main appeal does not render the cross-appeal incompetent; the cross-appeal stands independently and may proceed on the existing record. Leave is granted to file a supplementary record to include missing documents necessary for the cross-appeal.
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The High Court struck out a commercial claim for non-payment of petroleum products because the dispute was subject to an arbitration clause.
The High Court restrained a bank from honouring performance and advance payment guarantees pending arbitration over a subcontract dispute.
The High Court dismissed an appeal over a crop cess contract, holding that the trial court properly deducted the collection deficit from the performance bond.
The High Court Commercial Division dismissed Ecobank’s default judgment claim for reimbursement under guarantee arrangements, finding the documentary proof insufficient.
The second respondent was not in breach of the Performance Bond Agreement because its obligation to pay was excused by the existence of an injunction and the first respondent's demand for an amount exceeding the outstanding balance; thus, there was no legal or factual basis for holding the second respondent liable for breach or for awarding general damages.
Source excerpt
The Plaintiff's claim for reimbursement under the advance payment guarantee failed because the contractual condition precedent—a decision of the Engineer establishing the contractor's default—was not fulfilled or served on the Defendant. The claim was therefore premature and not maintainable in court.
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The High Court held the contract was wrongfully terminated, awarded specific damages and return of the performance bond, but refused general damages and commercial interest.
The Court of Appeal of Tanzania dismissed an appeal over the sale of a ship by tender, holding the appellant breached a performance-bond term and repudiated the contract.
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