Limitation Decree NRCD 54

On the whole, the Decree is a convenient one which gathers together all the rules on limitation of actions in Ghana.  The periods of limitation for the various classes of actions are laid down in Part I of the Decree. Actions for slander and seduction, actions to recover contribution against concurrent wrongdoers and actions to recover civil penalties and forfeitures are barred after two years.

A three-year limitation period is laid down for tort actions in negligence, nuisance and breach of duty where the damages claimed include damages in respect of personal injuries and also actions for the benefit of the defendants of a deceased under section 16 of the Civil Liability Act, 1963.  Actions barred after six years include tort actions other than those already mentioned, actions in contract and quasi-contract, actions to enforce a recognizance, etc.  The limitation period for actions to recover land is twelve years.  The limitation periods for various other categories of actions are also laid down in Part I of the Decree.

By the application of the provisions of Part II of the Decree, the periods of limitation laid down in Part I may be extended. The grounds on which such extension may take place are disability (i.e. insanity and infancy) acknowledgement, part-payment, fraud and mistake. A period of disability is in general not to be taken into account in computing the relevant period of limitation. When a written acknowledgement is made and signed by its maker, the right of action in respect of which it is made is to be deemed to have accrued on the date of the acknowledgement and not before.  Again, with the part-payment of a debt, the limitation period is deemed to run a fresh from the date of payment. As regards fraud, if an action is based on the fraud of the defendant or his agent or the plaintiff’s right of action is concealed by the fraud of the defendant or his agent, the period of limitation is not to begin to run until the plaintiff has discovered the fraud.

Similarly, where an action is for relief from the consequences of mistake, the period of limitation is not to begin to run until the plaintiff has discovered the mistake. In both cases, however, the period of limitation will run from the time when, with reasonable diligence, the fraud or mistake should have been discovered, even though in fact neither was discovered.  Lastly, the three-year limitation period provided for under section 3 (1) for tort actions claiming damages for personal injuries may be extended for periods up to twelve months, with the leave of court, under circumstances described in detail in sections 23 to 25 of the Decree. Part III of the Decree applies it to arbitrations.

Feature on KIVA

Kiva commenced partnership with Kraban Support Foundation in the fourth quarter of 2006. The partnership was closed in mid-2007 after Kiva discovered irregularities in the application of its policies by Kraban Support Foundation. Over the course of the partnership, Kraban Support Foundation raised approximately $500,000 in loans. All loans were marked as repaid from the entrepreneurs and Kiva repaid lenders to Kraban entrepreneurs.

Subsequently, Kraban did not send all the funds to Kiva, and a repayment plan between Kraban Support Foundation and Kiva was agreed upon. The repayment plan spanned from September 2007 to March 2009, through monthly installments.

Since November 2008, Kraban Support Foundation has been delinquent in its payments to Kiva in an amount close to $100,000. Kiva continues to pursue legal remedies with regard to collection of funds owed from Kraban Support Foundation.

RESPONSE TO KIVA’s ALLEGATIONS OF BREACH HOSTED ON WEBSITE SINCE SEPT. 2, 2009

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DATE KRABAN FOREIGN EXCHANGE AMOUNT AMOUNT WIRED CONFIRMED RECEIPTS DATE KIVA FOREX BANK CHARGES
WIRED AMOUNT EQUIVALENT GHANA CEDIS UNITED STATES ($) FROM KRABAN RECEIVED AMOUNT GAIN/LOSS COMMISSION SWIFT
27. 09. 2007 GH¢0.98=$1.00 19,600 20,000 19,975 03.10.2007     400    200 25
26.10.2007 GH¢0.98=$1.00 52,115 53,178 53,153 03.11.2007   1,063    532 25
29.11.2007 GH¢0.98=$1.00 18,718 19,100 19,075 07.12.2007      382   191 25
28.12.2008 GH¢I.10=$1.00 21,010 19,100 19,075 08.01.2008  (1,910)   191 25
01.02.2008 GH¢I.10=$1.00 21,010 19,100 19,075 10.02.2008  (1,910)   191 25
29.02.2008 GH¢I.10=$1.00 21,010 19,100 19,075 15.03.2008  (1,910)   191 25
31.03.2008 GH¢I.10=$1.00 21,010 19,100 19,075 24.04.2008  (1,910)   191 25
16.05.2008 GH¢1.21=$1.00 23,111 19,100 19,075 27.05.2008  (4,011)   191  25
22.06.2008 GH¢1.22=$1.00 23,302 19,100 19,075 26.06.2008  (4,202)   191  25
22.07.2008 GH¢1.25=$1.00 23,875 19,100 19,075 30.07.2008  (4,775)   191  25
27.08.2008 GH¢1.25=$1.00 23,875 19,100 19,075 30.08.2008  (4,775)   191  25
26.09.2008 GH¢1.25=$1.00 23,875 19,100 19,075 08.10.2008  (4,775)   191  25
30.10.2008 GH¢1.25=$1.00 23,875 19,100 19,075 05.11.2008  (4,775)   191  25
TOTAL PAID                          – 316,386  283,278 282,953  29.05.2009 (33,108) 2,833 325
*EXPECTED PAYMENTS GH¢1.40=$1.00 134,938  96,384  95,405  30.10.2009  (38,554)    954 150
GRAND PAYMENTS 451,324  379,662 378,358  30.10.2009  (71,662) 3,787 475
SUMMARY POSITION AS OF MAY 29, 2009
Description US$ US$
Total  debt 378,358
Total Repaid 282,953 95,405
Forex (Gain/Loss) 33,108 62,297
Bank Commission 2,833 59,464
Outstanding Loans: 59,464
Accra Ops. 4,287 55,177
Takoradi Ops 24,948 30,229
Fellows Cost 4,000 26,229
Communication charges  2,800 23,429
Photographers’ cost 2,000 21,429
Staff/Severance  Cost 24,099  (2,670)
Swift Charges  325  (2,995)
Maintenance of project vehicles 1,600 (4,595)