The High Court in Accra (Commercial Division 2) has quashed a US$33.3 million arbitral award previously issued against Justmoh Construction Limited.
The original award, granted in December 2025, had ordered Justmoh to refund the multimillion-dollar sum to Ashanti Port Services Limited (APSL) regarding the Boankra Inland Logistics Terminal project.
In a comprehensive 40-page ruling, Justice John-Mark Nuku Alifo set aside the award, citing fundamental jurisdictional and procedural failures.
Grounds for Ruling:
The Court’s decision to overturn the award rested on three primary legal pillars:
Lack of Legal Capacity:
The Court found that APSL did not have the authority to initiate arbitration. Justice Alifo ruled that “capacity goes to the heart of jurisdiction,” and a company cannot fix a lack of authority midway through a legal process.
Improper Board Composition:
Evidence showed that APSL’s board was not properly constituted under its own Shareholders’ Agreement. Crucially, directors from the Ghana Shippers’ Authority and the Ghana Ports and Harbours Authority (GPHA) were excluded from the meeting that purportedly authorized the legal action.
No Cause of Action:
Since the government had already terminated APSL’s concession agreement before the arbitration began, the Court ruled that APSL had no valid legal claim against Justmoh at that time.
Background of Conflict
The dispute centers on the Boankra Inland Logistics Terminal, a strategic national project designed to enhance Ghana’s cargo handling.
Milestone Event
Aug 2022 APSL contracts Justmoh Construction for Phase 1A of the project.
Sept 2022 $33.3M is transferred to Justmoh as mobilization funds (sourced from GPHA).
Aug 2023 Ghana Shippers’ Authority terminates APSL’s concession due to failure to secure funding.
Oct 2023 Justmoh terminates its contract with APSL, citing non-payment of certified work.
Dec 2023 APSL initiates arbitration despite the collapsed concession.
The “$33.3 Million” Question:
A central point of contention was the nature of the $33.3 million payment. While APSL sought its return as a refundable loan, the Court found that the money actually originated from the Ghana Ports and Harbours Authority (GPHA) as part of a share subscription.
Justice Alifo noted that APSL could not demand a refund for funds it did not provide, especially after failing to meet its own contractual obligations to achieve financial close.
Final Decision
The Court emphasized that this was a supervisory application under the Alternative Dispute Resolution Act, 2010 (Act 798). By ruling in favor of Justmoh Construction, the Court affirmed that the arbitration process was fundamentally flawed from the outset, effectively shielding the construction firm from the $33.3 million liability.
Story By Michael Ofosu-Afriyie, Kumasi.
