LEGAL PRINCIPLE: EQUITY – Delay and Laches – Promptitude Required for Equitable Relief of Rescission
PRINCIPLE STATEMENT
In claims for rescission of contracts, the equitable relief is only given on condition that the plaintiff comes with great promptitude. Any substantial delay, such as a year or probably less, will be a bar, as the defendant may alter his position in the belief that the contract is to stand.
RATIO DECIDENDI (SOURCE)
Per Mohammed, JSC, in Okonkwo v. Okonkwo (1998) NLC-441992(SC) at pp. 8–9; Paras D--B.
"In claims ... for rescission of contracts, the special relief in equity is only given on condition that the plaintiff comes with great promptitude ... Any substantial delay after the negotiations have terminated, such as a year or probably less, will be a bar. In cases of rescission the defendant may be altering his position in the belief that the contract is to stand, and the claim to rescind must be made promptly ...."
EXPLANATION / SCOPE
Rescission claims require prompt action. Delay bars the remedy. The principle applies to equitable relief. The defendant may change position. The rule protects reliance. The plaintiff must act swiftly. The principle is well-established.
