When The Defense of Volenti Non-Fit Injuria Will Not Avail a Party in a Banker-Customer Transaction

CASE TITLE: FIDELITY BANK PLC v. PETER (2024) LPELR-61551(CA)
JUDGMENT DATE: 5TH JANUARY, 2024
PRACTICE AREA: BANKING LAW
LEAD JUDGMENT: PETER CHUDI OBIORAH, J.C.A.

SUMMARY OF JUDGMENT:

INTRODUCTION:
This appeal borders on Banker-Customer Relationship.

FACTS:
This is an appeal against the judgment of the High Court of Akwa Ibom State in Suit No. HU/330/2009 Coram judice, Hon. Justice G. J. Abraham, delivered on March 21st, 2013.

The respondent took action against the appellant and two other persons in respect of the banking transactions the respondent directly had with the 2nd defendant in the action (Mr. Inyang Emmah), who was the branch manager of the appellant. The respondent had complained that she made fixed deposits of some money with the appellant which the appellant later refused to pay her. The appellant basically maintained at the trial that the bank was not officially involved in the transaction with the respondent and that the respondent dealt with Mr. Inyang Emmah in his private capacity, and as such, the appellant was not liable to the claims of the respondent.

At the end of the trial, the Court found in favour of the respondent. The appellant was dissatisfied with the judgment, hence this appeal.

ISSUE(S) FOR DETERMINATION:
The appeal was determined on the following issues:

1. Whether in the circumstances of this case, the trial Court was right in holding the Appellant liable for the actions of Mr. Inyang Emmah.

2. Whether the trial Court was right in making the monetary awards it did.
3. Whether the trial Court at any time raised the issue of negligence as a tort, and if he did, was his decision based thereon?”

DECISION/HELD:
The appeal was unanimously dismissed.

RATIOS:
• BANKING LAW – BANKER-CUSTOMER RELATIONSHIP – Who is a bank customer?
• BANKING LAW – BANKER-CUSTOMER RELATIONSHIP – Circumstance(s) where a branch manager of a bank will not be held to have acted outside his scope of authority to incur the liability of the bank in his dealing with a customer of the bank
• TORT – VOLENTI NON FIT INJURIA – When the defence of volenti non-fit injuria will not avail a party in a banker-customer transaction
• EVIDENCE – ADDRESS OF COUNSEL – Whether counsel can use his address to the Court to introduce evidence which was not adduced by the party during the trial
• DAMAGES – GENERAL DAMAGES – Guiding principles for the award of general damages
• DAMAGES – DOUBLE COMPENSATION – Instance(s) when double compensation will not arise
• JUDGMENT AND ORDER – WRITING OF JUDGMENT – Whether a Judge is at liberty to use words and phrases that will buttress his thoughts in writing judgment

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