A Federal High Court sitting in Lagos on Friday ruled that Honeywell’s payment of N3.5 Billion between 2013 and 2014 constitutes the full and final settlement of its indebtedness to Ecobank Nigeria Limited.
The judgment delivered brings to rest the protracted legal dispute between Honeywell and Ecobank
The judge, Justice Olayinka Faji, held that a valid agreement was reached at various meetings between representatives of Honeywell and Ecobank on the 22nd of July, 2013 and in line with this agreement, Honeywell made payments to the bank in order to settle its indebtedness.
However same could not be said of Ecobank who rather than keep to the terms of the agreement, sought to introduce new terms.
The court further held that all through the course of the instalment payments being made by Honeywell, Ecobank did not at any time raise any objections to the payments.
The amount now being claimed by the bank was not at any time mentioned in the meetings or series of correspondences with Honeywell.
It will be recalled that Anchorage Leisures Ltd, Honeywell Flour Mills Plc. and Siloam Global Limited (all members of the Honeywell Group), in August 2015, instituted a suit before the Federal High Court, Lagos seeking the determination of whether or not the companies are truly indebted to the bank following the payment of the sum of N3.5 billion as full and final settlement of their obligations to Ecobank, based on a mutual agreement between Honeywell and Ecobank.
The legal tussle, it would be recalled, commenced in 2015.
