Chukwuma-machukwu Ume V. Joelee International Company Limited (2016)

LawGlobal-Hub Lead Judgment Report – COURT OF APPEAL

ABUBAKAR DATTI YAHAYA, J.C.A. (Delivering the Leading Judgment)

This is an appeal against the Ruling of the trial Court, the Federal High Court Abuja, delivered on the 29th of November, 2006, wherein it transferred the Suit filed by the appellant herein, who was the plaintiff, to the Federal High Court Umuahia for hearing.

?The facts in brief, are that the respondent in this appeal, entered into a contract of guarantee with Fortress Insurance Company Limited, in the form of a Performance Bond, in respect of a building project which the respondent was to undertake at Umuahia, Abia State. The Fortress Insurance Company gave the guarantee and the Performance Bond Policy is FBD/0016/UA.

The consideration was the payment of N286,560.00 as premium and the respondent made a part-payment of the sum of N50,000, leaving a balance of N236,560.00 to be paid. Subsequently, the operational license of the Fortress Insurance Company was withdrawn by the National Insurance Commission on the 2nd of August 2006. The appellant herein was then appointed as its Receiver/Liquidator. The appellant, in a bid to recover debts owed to the Fortress Insurance

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Company, sued the respondent for the balance of the premium and other aspects, totaling N536,560.00 with 20% interest in the-sum, in Federal High Court Abuja, as the Undefended List.

The respondent after being served, filed a Motion to strike out the Suit for lack of jurisdiction, or in the alternative, to transfer the Suit to the Federal High Court Umuahia. On the 29th of November 2006, the Federal High Court Abuja transferred the Suit to the Federal High Court Umuahia for hearing. This is what led to this appeal.

The appellant’s brief was settled by Mr. Ekpedo. It was filed on the 1st of February 2011 but deemed filed on 30/9/13. The two issues suggested for determination therein, are –

1. Considering the provisions of Order 11 Rule 1(4) of the Federal High Court Civil Procedure Rules 2000 (now Order 2 Rule 1(4) of the Federal High Court Civil Procedure Rules 2009) whether the learned trial judge was right to have transferred the plaintiff/appellants Suit from Abuja to Umuahia Judicial Division.
2. Whether the learned trial judge was right in holding that the operative rule in this situation, is Order 11 Rule 1(9) of the Federal

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High Court Civil procedure Rules 2000 (now Order 2 Rule 1(9) of the Federal High Court Civil Procedure Rules 2009).

The respondents brief was settled by Mr. Ojeh and it was filed on the 12th of December 2013. The lone issue suggested for resolution therein, is –

Whether in the circumstances of this case, the trial Court was right in transferring this Suit for hearing at Umuahia Judicial Division of the Federal High Court.

In view of the grounds of appeal filed, I find the issues suggested by the appellant to be apt. I shall adopt them in resolving this appeal.

ISSUE NO. 1