Maersk Nigeria Limited V. Uma Investment Company Limited (2013)

LawGlobal-Hub Lead Judgment Report – COURT OF APPEAL

MODUPE FASANMI, J.C.A. (Delivering the Leading Judgment)

This is an Appeal against the ruling of the Rivers State, High Court of Justice, sitting in Port Harcourt. The ruling was delivered on the 3rd of July, 2006 wherein the court dismissed the preliminary objection filed by the Appellant challenging the Jurisdiction of the High Court of Rivers State to hear the suit of the Respondent as Plaintiff in the said court.

The Respondent commenced the suit no. PHC/1176/2005 before the High Court of Rivers State by writ of Summons issued on 18th October, 2005 and an affidavit of claim dated the same day. Leave was granted for the suit to be heard under the undefended list procedure on 14th November, 2005. The Respondent claimed before the High Court of Rivers State against the Appellant as follows:

(a) Payment of sum of N1,650,905.00 (One Million, Six Hundred and Fifty Thousand, Nine Hundred and Five Naira) only being and representing money owed the plaintiff as refundable container deposits mode to the Defendant by the Plaintiff.

(b) Interest on the said sum of the prevailing bank rate per annum with effect from when it become due until judgment.

(c) Interest in the said sum of the rate of 10% per annum after judgment and until the debt is paid.

The Appellant through its counsel simultaneously filed a notice of intention to defend accompanied by a four paragraph affidavit as well as a notice of preliminary objection dated and filed on 8th December, 2005. The Appellant’s notice of preliminary objection challenging the jurisdiction of the High Court of Rivers State was hinged on the following grounds:

(a) The Plaintiff’s claim in this suit which arose out of an agreement for the carriage of goods by a ship in which Plaintiff on behalf of certain consignee allegedly paid deposits to the Defendant for the use of the containers used for the shipment of the goods is by virtue of the combined provisions of Section 251 of the Constitution of the Federal Republic of Nigeria 1999 and Section 1 (i) (a), 2 & (3) and 2 (3)(e) and (f) of the Admiralty Jurisdiction Act 1991 within the Admiralty jurisdiction exclusive to the Federal High Court.

(b) That this Honourable Court lacks the requisite jurisdiction to entertain this suit as same is not within the jurisdiction conferred on this Honourable Court under Section 272 of the Constitution of the Federal Republic of Nigeria 1999 by virtue of Section 251 thereof.

(c) That by virtue of the above provisions, this Honourable Court ought to strike out this suit for lack of jurisdiction.

(d) That by the judicial interpretation given to Section 78 of the Companies and Allied Matters Act 1990, this Honourable Court is divested of the requisite competence to hear and determine this suit, the originating process thereof having been served at the Defendant’s branch office (sic) and on a person not in the category listed under the Companies and Allied Matters Act 1990.

The Respondent in turn on 20/12/2005 filed a further and better affidavit in support of the claim and also filed a counter affidavit on 22/12/2005 to the notice of the preliminary objection to which the Appellant filed a Reply on 8/2/2006.

Both counsel filed written arguments on the application. The arguments are on pages 145 – 154 and 162 – 166 of the record of appeal. On July 3rd 2006, the Hon. Justice T. K. Osu delivered the ruling subject of this appeal assuming jurisdiction to hear and determine the Respondent’s claim.

Appellant being dissatisfied with the ruling, filed its notice of appeal on the 14th July, 2008. In accordance with the rules of the court, Appellant’s brief of argument was filed on the 17th of Feb.2009 but was deemed properly filed and served on the 4th of March, 2013. The Respondent’s brief of argument was filed on the 2nd of April, 2009 but was deemed properly filed and served on the 4th of March, 2013.