Lithotec (Pvt) Ltd t/a Frame Work Media v Engen Petroleum Zimbabwe (Pvt) Ltd

HH 150-23

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Case Details

Court

Harare High Court

Date

1 March 2023

Citation

HH 150-23

Neutral Citation

[2023] ZWHH 150

Outcome

unknown

Case Type

Trial

Bench

Presiding

Mafusire J

Full Bench

Mafusire J

Areas of Law

Contract lawCommercial lawCompany law

Keywords

Payment certificateContract priceCorporate groupCurrency of debtInterest rate

Key Issues

{"issue_text":"Whether defendant is liable to make payment to plaintiff in respect of PC no. 5","issue_type":"mixed","dispositive":"yes","related_facts":"Contract was with Engen group; PC issued in defendant's name; defendant participated in tender process"}
{"issue_text":"Whether the debt is a foreign obligation payable in foreign currency","issue_type":"law","dispositive":"no","related_facts":"Contract specified USD; Zimbabwe's monetary regime changed"}
{"issue_text":"Whether defendant is liable for special interest rate of 0.5% per day","issue_type":"law","dispositive":"no","related_facts":"Contract specified this rate as penalty for plaintiff's breach"}

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background

Facts of the Case

Background

The plaintiff, a signage company, sued the defendant petroleum company for payment of US$74,332.58 being the balance of contract price for rebranding Engen service stations. The defendant denied liability claiming the contract was with Engen Oil Zimbabwe, not itself, and that the payment certificate was issued without authority.

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