The Shell Petroleum Development Company Of Nigeria Ltd V. Donatus Ezeukwu & Ors (2010)

LawGlobal-Hub Lead Judgment Report – COURT OF APPEAL

ABUBAKAR JEGA ABDUL-KADIR, J.C.A. (Delivering the Leading Judgment)

This is an appeal against the Ruling of Imo State High Court sitting at Oguta presided over by His Lordship, Hon. Justice S.C. Nwachukwu delivered on 24th day of July, 2001 dismissing Defendant/Appellant’s motion challenging the Jurisdiction of the Court to entertain Plaintiffs/Respondents Suit.

At the lower Court, the Plaintiffs/Respondents claimed against the Defendant/Appellant as follows:-

The sum of One Hundred Million Naira (N100,000,000.00) as fair, reasonable and adequate compensation and/or damages due and payable to the Plaintiffs by the Defendant for damages, deprivation and or injuries to the Plaintiffs’ right in respect of the Plaintiffs’ pieces or parcel of land which situate and lying at Obihi in Obaji/Egbema Local Government Area of1mo State resulting in loss of income from Farming, Palm produce, lumbering, animal husbandry hunting etc.

PARTICULARS OF DAMAGES:

(a) N39,325,000.00 being compensation for loss of use of the land described in paragraph 3 of the Statement of Claim measuring 15.73 hectares at N2,500,000.00 per hectare per twenty years.

(b) N60,675,000.00 being general damages for loss of economic crops and trees huntable wild lives etc as a result of perpetual flooding of Plaintiff’s lands and for inconveniences, suffering and deprivation. Or in the Alternative to (a) above.

(c) An Order, of Court that an Independent Registered Estate Valuers acceptable to both parties be retain to put a proper, fair and adequate capital value for 20 year loss of use of the said land described in paragraph 3 of this Statement of Claim form 1990 till 2010.

From the Plaintiffs’ Statement of Claim contained at pages 6 to 10 of the records of proceedings, it seems that the complaint of the Plaintiffs was in connection with mining, exploration and exploitation of oil, as well as Appellant’s “Ogwuala 1 and 2 Oil wells” situate on the Respondent’s land.

The Defendant/Appellant then filed a Notice of Preliminary objection challenging the Jurisdiction of the Court to entertain and try a suit complaining of alleged injuries suffered as a result of establishment of oil wells and operations of Oil Mining. The Plaintiff/Appellant’s Notice of Preliminary Objection is contained at page 12 of the records. The objection was based on the facts averred in the Plaintiffs’ Statement of Claim as well as endorsed in the writ of Summons.

In his ruling at pages 23 to 29 of the records of proceedings the learned trial Judge dismissed the Notice of Preliminary Objection.

Dissatisfied with the decision of the trial Court, the Appellant appealed to this Court vide its Notice of Appeal dated 1st August, 2001 containing three grounds of appeal.

The appeal was heard on the 9th February, 2010 and in line with the Rules and Practice of this Court, the parties duly filed their briefs of Argument. The Appellant’s bridal’ Argument is dated 30/6/03 ,and filed on 9/7/10, the Appellant also filed a reply brief dated 7/12/02 and filed on 14/12/07. Learned Counsel for the Appellants adopted the two briefs of Argument and urged the Court to allow the appeal and strike out suit No. HOJ/54/200 on the ground that it is only the Federal High Court that has Jurisdiction to hear the matter.

The Respondent’s brief of Argument is dated 17/5/06 and deemed filed on 8/2/07. Learned Counsel for the Respondents adopted the said brief of Argument and urged the Court to dismiss the appeal.