Facts:

The appellant, an importer of raw materials had contracted to pay its overseas suppliers in Japan the sum of US$16,180.00. The appellant maintained a bank account with the respondent. The appellant applied for the issuance of a Letter of Credit in favour of the Japanese suppliers and paid the respondent 355,699.65 (Fifty five thousand, six hundred and ninety nine Naira, sixty five kobo) for the purchase US$16,180.00 from the second tier foreign exchange market. The appellant also paid the defendant the charges and commission demanded to enable the defendant effect the transfer of the money to the appellant’s overseas suppliers.

The respondent issued a Letter of Credit which was to remain valid till 13/1/87 in favour of the Japanese supplier, but the Letter of Credit never got to the Japanese company. At the Orlu High Court the appellant as plaintiff commenced a suit against the respondent contending that the defendant had breached the performance of its obligations.