Ghana: Vemag, DVLA Move to Settle Contract Dispute Out of Court

THE Vehicle Embossment Association of Ghana (VEMAG) has withdrawn its court action against the Driver and Vehicle Licensing Authority (DVLA) over the alleged termination of its embossment contract and is now seeking an out-of-court settlement.

VEMAG had earlier gone to the High Court in Accra seeking an interlocutory injunction against the DVLA, citing alleged lack of consultation in the rollout of Ghana's digitalised vehicle number plate system and concerns over the alleged revocation of its contract.

The association said it was now engaging the DVLA to resolve the matter amicably and secure the future of more than 3,000 workers nationwide.

Speaking at a press conference in Accra on Monday, VEMAG spokesperson, Mr Jojo Bossman, apologised for the court action, describing it as unnecessary in hindsight.

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"Knowing what we know now after discussions with the Executive Officer of the DVLA, Mr Julius Nii Quaye Kotey, it would not have been necessary to pursue any court action, and we sincerely regret our action," he said.

Mr Bossman said VEMAG had no ill feelings towards the DVLA and expressed confidence in continued cooperation between the two parties.

He commended DVLA management, particularly Mr Kotey, for improvements in the authority's operations, citing increased revenue and enhanced performance in recent years.

The development follows a writ filed on December 22 at the High Court in Accra by Bemenco Embossment Limited, challenging the alleged termination of what it described as a valid and subsisting embossment contract.

The company, representing 27 members, said its members had provided embossment services to the DVLA for over 30 years and were not adequately engaged in the rollout of the digital number plate system.

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