An Accra High Court has overturned a US$33.3 million (approximately GHS 487 million) arbitration award against Justmoh Construction Limited. This decision nullifies a prior ruling that ordered Justmoh to refund this substantial sum to Ashanti Port Services Limited (APSL).
The court, presided over by Justice John-Mark Nuku Alifo, found fundamental jurisdictional and procedural failures. These failures included APSL's lack of legal capacity to initiate the arbitration and an improperly constituted board. This ruling effectively clears Justmoh of the large liability related to the Boankra Inland Logistics Terminal project.
This case highlights the complexities of large-scale infrastructure projects and public-private partnerships in Ghana. The Boankra project, a significant inland port development, is crucial for improving trade logistics and reducing congestion at sea ports. Disputes like this can impact investor confidence and the timely completion of essential national infrastructure. The ruling underscores the importance of stringent legal and governance frameworks in such ventures.
The High Court set aside the arbitral award based on the Alternative Dispute Resolution Act, 2010 (Act 798). Justice Alifo's 40-page judgment cited lack of legal capacity, invalid board actions, and no valid claims by APSL. The court also noted that APSL could not demand a refund for funds it did not provide, as the money originated from the Ghana Ports and Harbours Authority (GPHA) as a share subscription. The lead counsel for Justmoh Construction, Prof. Kwame Ghana, Esq., presented the submissions that led to this favourable outcome.
This ruling provides financial certainty for Justmoh Construction, a key player in Ghana’s construction sector. It also sends a clear message regarding adherence to legal and corporate governance standards in arbitration and contract disputes. Observers will monitor how this decision influences future legal challenges in Ghana's infrastructure development and corporate landscape. The outcome could encourage greater scrutiny of contractual and procedural integrity in large-scale projects.
The dispute began on December 19, 2023, when APSL filed a notice of arbitration with the Ghana Arbitration Centre. APSL sought redress for alleged unlawful termination of its concession agreement for the Boankra Integrated and Logistics Terminal (BILT) project. The arbitration tribunal, formed on February 12, 2024, had ordered Justmoh Construction to refund the US$33.3 million with interest. This order attracted simple interest at a rate of 4% per annum. The tribunal also directed APSL to pay US$7,107,456.70 to Justmoh Construction for earthworks completed at the project site. However, the High Court’s ruling on Wednesday, December 10, 2025, completely nullified this award.
The court clarified that APSL lacked the authority to start the arbitration. Justice Alifo emphasized that legal capacity is the 'heart of jurisdiction' and cannot be fixed retroactively. Furthermore, APSL’s board was improperly constituted. Directors from the Ghana Shippers’ Authority and Ghana Ports and Harbours Authority (GPHA) were excluded from the meeting that authorized the legal action. This violated APSL’s own Shareholders’ Agreement. The court also found that APSL had no standing to pursue a claim against Justmoh because the government had already terminated APSL’s concession agreement before the arbitration commenced. This detailed legal analysis underpinned the High Court's decision to set aside the entire arbitration award.