Bianca (Pvt) Ltd. vs People’s Bank – SC CHC APPEAL 21/2021-2025

In the case between Bianca (Pvt) Ltd. and People’s Bank , the dispute centered on the calculation of interest on term loan facilities—specifically, whether interest should be computed in accordance with the contractual provision of “8% above today’s current 3 months LIBOR rate” together with 1% penal interest, or simply as 8% on the principal. The court held that, despite the absence of a detailed explanation of the LIBOR rate at trial, the contractual clause warranted the calculation as agreed by both parties. It was further determined that unchallenged documentary evidence and admissions by the defendant established the plaintiff’s entitlement. The holding reaffirmed the principle that contractual terms, when admitted or not objected to, prevail in determining liability and quantum, part