Interpleader Proceedings

Where a 3rd party in possession of a property prays court inviting interested persons in property to come and contest title to property so whoever acquires legal title have right to property, 2 or more make claim to property belonging to 3rd party who isn’t making any claim to property himself may commence proceedings by motion on notice to avoid being prejudiced by proceedings.

O 48r1 two ways to commence interpleader proceedings, Registrar’s interpleader-registrar or officer of court seizes property or possesses its value by way of execution and a party other than debtor claims them. Claimant files notice of claim and registrar initiates interpleader proceedings to determine whether property belongs to debtor and therefore can be seized, Shareholder’s interpleader-person under liability for any debt, money or goods has been sued by two or more rival claimants to the property, if he has no interest in dispute may apply for relief by way of interpleader on notice to claimant, debtor and creditor.

Affidavit state no claim of interest in subject matter other than cost or charges, not in collision with claimants, willing to pay or transfer subject matter into court. Court will order claimant to be heard by service on them dates and within 7 days, claimants shall file particulars of claim, issues between claimants are tried.

Haram v AG Leventis Co Ltd where issues before court are purely questions of law, judge didn’t err when he exercised discretion to try interpleader summarily and not by a case stated. Tetteh v Mensah where claimant fails to attend claim is barred, where fails to obey order after appearing court may bar him from ever prosecuting claim against applicant.

Failure to interplead by one whose property is attached in judgement execution isn’t bar against person who purports to purchase property at such sale, not obliged to interplead. Per Afari v Nyame if owner of property wrongly attached interpleaded but auctioneer sold property before he could have notice of interpleader, sale won’t preclude owner from bringing substantive action against creditor, auctioneer or purchaser for declaration of title or trespass.

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