U.B.N. PLC v. RAVIH ABDUL & CO. LTD.

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Facts:

Facts:

In April 1993, the respondent applied to the appellant for an irrevocable Letter of Credit in favour of Vertika International Ltd for the supply of certain goods to the respondent. The Letter of Credit was for the sum of £5,240.36 (Five Thousand Two Hundred and Forty Pounds and Thirty Six Pence). The Letter of Credit was to expire in August, 1993 but upon request by the respondent was extended to October, 1993. In September, 1993 the respondent delivered the original shipping document of the good supplied to it by the beneficiary of the Letter of Credit, Vertika International Ltd, to the appellant for onward transmission to the correspondent bank – Barclays Bank UK – in order for the latter to be able to make payment to the beneficiary. The documents were acknowledged, stamped and forwarded by the appellant to the corresponding bank and a certified true copy (CTC) of the documents were handed over to the respondent to facilitate the clearing of the goods.

The respondent alleged that the appellant was in breach of the Letter of Credit and filed a suit against the appellant at the High Court of Lagos State. The suit was predicated on the ground that the appellant did not make payment to Vertika International Ltd within the tenor of the Letter of Credit and that the exhibit relied on by the appellant to insist that payment was made to Vertika International Ltd was for a different letter of credit. After hearing the parties, the trial court dismissed the suit and held that the respondent failed to prove its case. The court held that there was only one Letter of Credit and that the exhibit indicating a different Letter of Credit was a typographical error. The respondent was aggrieved and filed a notice of appeal at the Court of Appeal, Lagos Division asking the court to reverse the trial court. The Court of Appeal gave judgment in favour of the respondent and granted all its reliefs. The majority decision of the Court of Appeal predicated their decision on the exhibit indicating that payment was made for another Letter of Credit different from the one for which the respondent applied. However, a dissenting judgment of the court agreed with the trial court dismissing the claims of the respondent. The appellant was dissatisfied with the decision of the Court of Appeal and filed a notice of appeal at the Supreme Court.

The parties filed their briefs of argument and the respondent incorporated a preliminary objection in its brief. The preliminary objection was based on the allegation that some of the grounds of appeal were error of facts or mixed law and facts and that the appellant did not seek the leave of court to file them.

One of the issues for determination is whether Vertika International Ltd was paid the sum of £5,240.36 (Five Thousand Two Hundred and Forty Pounds and Thirty Six Pence). being the value of the only Letter of Credit opened in its favour having regards to the exhibits admitted in evidence.

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