Gulf Union Bank Ltd v Bodden, Jr

• Jurisdiction: Cayman Islands
• Judge: Malone C.J.
• Judgment Date: 11 October 1990
• Court: Grand Court (Cayman Islands)
• Docket Number: No. 264 of 1990
• Date: 11 October 1990

Gulf Union Bank Ltd.

and

Bodden, Jr.

Malone, C.J.

No. 264 of 1990

Grand Court

Practice and procedure - Summary judgment — Plaintiff claiming money lent to the defendant pursuant to the terms of a promissory note — Whether a defence on the merits — Defendant's case “shadowy” — Conditional leave to defend.

Appearances

Mr. Giglioli for the plaintiff/applicant

Mr. Grant for the defendant/respondent

Malone C.J.

1 This is an application by summon for summary judgment under rule 23 of the Grand court Rules.

2 The writ in this section with a specially endorsed statement of claim was served on the 29 ^th June 1990. Appearances was entered by the defendant on the 4 ^th July, 1990 and a defence was filed on that day. In support of the summons now before me there is an affidavit of Mr. E. Unnikrishnan filed the 13th September, 1990 and in response to that affidavit the defendant filed an affidavit of the 28 ^th September, 1990.

3 The plaintiff's claim is for U.S.$151.00 being monies lent by the plaintiff to the defendant pursuant to the terms of a promissory note made on the 8 ^th December, 1987 between the defendant and the plaintiff. The note is exhibited to Mr. Unnikrishnan's affidavit and exhibited also to that affidavit are two accounts of the plaintiff. The first is the name of J.M. Bodden & Sons Int'l Ltd. In that account the first entry is a debit on the 10 ^th June 1987 of U.S. $110.000.00. The last entry on the 6 ^th December 1987 which matches the balance outstanding as of that date, is a credit of U.S. $111.682.00. The second is in the name of the defendant. In that account the first entry is a debit on the 16 ^th December 1981 of U.S. $111.682.00 and the last entry on the 12 ^th September, 1990 disclosed that due to accumulations of interest the debt had grown to U.S. $1.56.366.00. In that account, unlike the first account, there is no record of a payment made in reduction of the outstanding balance. The plaintiff's explanation of the accounts is that with the agreement of J. M. Bodden Snr. (deceased), the defendant and the plaintiff a loan by the plaintiff of U.S. $110,000.00 to J. M. Sodden & Son Int'l Ltd. was transferred to the defendant with J. M. Sodden Stir (deceased as guarantor. No money passed but the defendant executed and delivered the promissory note in this action whereupon an earlier promissory note presumably relating to the loan of U. S. $110,000.00 to J.M. Sodden & Son Int'l Ltd. was cancelled and the advance made to the defendant was credited to the loan to J. M. Sodden and Sons Int'l Ltd. thereby clearing it. In...