CASES/JUDGMENTS ON DEBTOR-CREDITOR, INSOLVENCY AND BUSINESS RECOVERY LAW IN NIGERIA (2)
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CASES/JUDGMENTS ON DEBTOR-CREDITOR, INSOLVENCY AND BUSINESS RECOVERY LAW IN NIGERIA (2)
[PDF copy/compendium of any judgment(s) listed and published here for free can be procured for a fee. Research support is also available. Email us through lawnigeria@gmail.com and info@lawnigeria.com or text +234 706 710 2097]
| TITLE | MAIN ISSUES |
| ELDER ESEME AKPAN V. EKANABASI ASIBONG UBONG | DEBTOR AND CREDITOR LAW:- Friendly loan agreement reduced into writing – How recovered via an undefended list procedure – Whether oral evidence can be admitted to vary the terms of the written agreement – Relevant considerations DEBTOR AND CREDITOR LAW:- The undefended list procedure if the High Court – Use of in obtaining expedited decisions regarding liquidated money claims |
| ELIZABETH ETIM ENEYO V. ADIM EFFIOM NSA & ANOR | DEBTOR AND CREDITOR – JUDGMENT DEBTOR: Time-bound order of payment made by court guaranteed against property of debtor – When debtor dies before expiration of time without fully satisfying the debt – Liability of his estate/heirs thereto – Relevant considerations |
| EMORI, ESQ. V. HON. EGWU ARONG EGWU & ANOR | DEBTOR AND CREDITOR – LEGAL FEES:- Action for recovery of fees from client – Necessary parties where client is a government parastatal – Where supervising Ministry is a necessary party that should be joined –Relevant considerations |
| GASALIYU OLA-IYA V. ALHAJI YAKUBU LASISI | DEBTOR AAND CREDITOR:- Recovery of payments pursuant to a sale – Transaction with disputed character [Hired-purchase or Credit –sale] – Appeal arising therefrom – Where suit originated via incompetent processes – How treated |
| GENERAL AUCTION ESTATE AND MONETARY COMPANY v | DEBTOR AND CREDITOR:- Recovery of loan from Incorporated company with no express powers to take loan – Whether power can had an implied power to borrow money for the purposes of its business |
| GOVERNOR TEGHWETE EJARUNE V. THE QUEEN | DEBTOR AND CREDITOR:- Agreement for grant of limited credit – Produce buyer for company – Misrepresentation inducing a grant beyond limit – Whether amounts to theft and fraudulent conversion or a debt to be paid back – How treated |
| GROSVENOR CASINOS LTD V. GHASSAN HALAOUI | DEBTOR AND CREDITOR – FOREIGN JUDGMENT:- Judgment debtor – Where neither carrying on business, nor ordinarily resident in the country within the jurisdiction of the original Court, nor appeared or otherwise submit to or agree to submit to the jurisdiction of that Court – Whether judgment arising from such foreign court can be registered against him in Nigeria |
| HALIFAX BUILDING SOCIETY AND ANOTHER V. KEIGHLEY AND ANOTHER | DEBTOR AND CREDITOR:- Mortgage of property covered by Fire Insurance – Insurance by Mortgagor apart from Statute and Mortgage Deed – Fire – Payment of Insurance Money to Mortgagor – Right of Mortgagee to Money paid to Mortgagor – Subrogation – Statute – Repeal – Extent of – Conveyancing Act, 1881 (44 & 45 Vict. c. 41), s. 23, sub-ss. 3, 4 – Law of Property Act, 1925 (15 Geo. 5, c. 20), s. 108, sub-ss. 3, 4; s. 207. |
| HASSAN GARBA V. MUSA LAWAN BIRNIWA & ANOR | DEBTOR AND CREDITOR:- Mortgage – Legality of a mortgage based on a third party’s property which was delivered to mortgagor as security for loan – Whether property can be recovered from mortgagee by third party on ground of illegality – How treated DEBTOR AND CREDITOR:- Title documents used as security for a loan – Where wrongfully used by creditor to obtain a loan from a bank which subsequently became distressed and is under receivership/management by NDIC– Whether injunction can be issued against receiver for the recovery of title document |
| HUNT V. WORSFOLD | DEBTOR AND CREDITOR LAW:- Mortgage – Matters arising therefrom – Party seeking invalidation of mortgage or its satisfaction so as to yield him possession of property connected therewith – Whether necessary party to proceedings |
| HYDRO-TECH NIGERIA LTD & ANOR V. LEADWAY ASSURANCE CO. LTD & ORS | DEBTOR AND CREDITOR LAW:- Equitable Mortgage – How created – Mere deposit of the title deeds which could be received or retained as a security for a loan – Agreement to create a legal mortgage – Mere equitable charge of the mortgagor’s property DEBTOR AND CREDITOR LAW:- Equitable mortgage – Whether it is unknown to law that an equitable mortgage is required to be registered before it can be held enforceable and/or admissible – Whether only a legal mortgage is mandatorily required to be made in deed form, executed by both parties and registered in accordance with the extant Law |
| I. M. IDOSU V. ABUDU Y. OJIKUTU | DEBTOR AND CREDITOR:- Garnishee proceedings – Third party applications – How treated |
| ILORIN SOUTH LOCAL GOVERNMENT V. SAMAD PAPER CONVERTING CO. LTD | DEBTOR AND CREDITOR LAW:- Application for interest on debt due – Whether equivalent to special damages for which principles relating thereto need to be satisfied DEBTOR AND CREDITOR LAW:-Claim for payment Where there is no credible and contrary evidence – Whether plaintiff needs only adduce minimal proof in discharging the burden of proof placed thereto DEBTOR AND CREDITOR LAW:- Prejudgment interest – Issue of interest payable on principal sum – Where party claims interest in the writ of summons by way of a vested right –Need for the claimant to prove the right as one arising by contract or equity or merchantile custom/usage – Need for the basis of the claim for interest to be pleaded and proved – Effect of failure thereto |
| IN RE ADAM EYTON, LIMITED. EX PARTE CHARLESWORTH. (CA) | DEBTOR AND CREDITOR LAW: Insolvency and Winding up – Removal of Liquidator – relevant considerations |
| IN RE CROMPTON AND CO. LIMITED. PLAYER V. CROMPTON & CO. LIMITED. | DEBTOR AND CREDITOR LAW:- Debenture and nature of rights arising therefrom – Recovery of sum covenanted for payment on a certain date – Where debtor company is wound up before such date – How treated |
| IN RE H. E. THORNE AND SON LIMITED | CREDITOR AND DEBTOR LAW: Insolvency – Recovery of sum due on advances by way of bill of sale from bankrupt debtor voluntary wound down – Mutual Dealings – Set-off – Relevant considerations |
| IN RE HARRISON | DEBTOR AND CREDITOR:- Recovery of debt due from deceased debtor’s estate – Where creditor is appointed – Receivership of estate – Degree of priority assigned debt |
| IN RE HULL AND COUNTY BANK. | CREDITOR AND DEBTOR LAW: Guaranteed debt – When instructing counsel for appearance in winding up proceedings is deemed superfluous – Demand for costs – Attitude of courts thereto |
| ISHOLA V. UNION BANK OF NIGERIA LIMITED | DEBTOR AND CREDITOR LAW – BANK DEBTOR:- Prof of repayment of loan – On whom lies – Evidence acceptable as proof – When expert evidence would not suffice DEBTOR AND CREDITOR LAW– BANK DEBTOR:- Bank loan secured via legal mortgage on property – Realisation of loan upon default in repayment – Illegality of mortgage and auction of mortgaged property – Need for same to be specifically pleaded – Relevant considerations |
| JACOBS V. MESSRS OLADUNNI BROTHERS | DEBTOR AND CREDITOR LAW:- Recovery of judgment debt – Proceedings against property wherein judgment debtors had interest – Whether family property held jointly by creditors and other persons in accordance with customary law can be attached towards the satisfaction of debt |
| KABIRU MUSA RANGAZA V. MICRO PLASTIC COMPANY LIMITED | DEBTOR AND CREDITOR LAW:– Recovery of sum outstanding on transactions pursuant to a contractual agency relationship – Where admission is indebtedness but quantum of debt contested – Action via undefended list – How treated DEBTOR AND CREDITOR LAW:– Satisfaction of indebtedness – A party who has admitted indebtedness to the other – Whether has duty to amply demonstrate to the trial court how the indebtedness admitted was liquidated – Whether the burden of proof in all cases of indebtedness is on the defendant who admitted being indebted to the plaintiff |
| KABO AIR LIMITED V. THE O’ CORPORATION LIMITED | DEBTOR AND CREDITOR LAW:- Judgment debtor – where order secured in foreign court – Whether can be registered and enforced in Nigeria – Relevant considerations DEBTOR & CREDITOR:- Foreign judgment – Where incapable of enforcement in the country of origin on account of the absence of assets of the judgment debtor – Whether basis to deprive the judgment creditor of the right to register and enforce the foreign judgment in Nigeria under Sections 3 and 4 of Foreign Judgment (Reciprocal Enforcement) Act, 1961, Cap. 152, Laws of the Federation of Nigeria, 1990 |
| LOVELL AND CHRISTMAS V. GILBERT – CWL | DEBTOR AND CREDITOR LAW: – Bankruptcy – Act of Bankruptcy – Receiving Order – Partnership Firm – Infant Partner – Judgment against Firm – Amendment of Proceeding – Bankruptcy Act 1883 (46 & 47 Vict. c. 52) ss. 4, 5, 6, 105 – Bankruptcy Rules 1886 rr. 260, 262, 264 – Rules of the Supreme Court, Order XLVIII. A rr. 5, 8. |
| MIDLAND RAILWAY COMPANY V. THE LOCAL BOARD FOR THE DISTRICT OF WITHINGTON | DEBTOR AND CREDITOR:- Money paid to public body pursuant to a statutory duty – When recoverable on the grounds of mistake – Need to proceed within statutory prescribed period – Effect of failure thereof |
| MR. CHIBUZOR UWAJE V. MR. EBIELIM MADUEMEZIA & ORS | |
| MR. L. A. OHIOWELE V. MR. EDWARD IGHODARO | DEBTOR AND CREDITOR LAW – PROOF OF INDEBTEDNESS:- Issuance of a check in satisfaction of a loan – Whether constitute evidence of indebtedness – Whether debtor asserts that cash payment had been made in redemption of the value on the checks – Burden of proving same – On whom lies |
| MR. SUNDAY ADEGBITE TAIWO V. SERAH ADEGBORO & ORS | DEBTOR AND CREDITOR LAW: – Loan obtained by a limited liability company on the security of a Deed of mortgage set against the property of company’s Managing Director – Auction of property without full compliance with the applicable statute – Attitude of court thereto |
| JUDGMENTS OF NIGERIAN COURTS | |
| By Substantive Areas | By Litigation/Procedure Areas |
[PDF copy/compendium of any judgment(s) listed and published here for free can be procured for a fee. Research support is also available. Email us through lawnigeria@gmail.com and info@lawnigeria.com or text +234 706 710 2097]
| TITLE | MAIN ISSUES |
| ELDER ESEME AKPAN V. EKANABASI ASIBONG UBONG | DEBTOR AND CREDITOR LAW:- Friendly loan agreement reduced into writing – How recovered via an undefended list procedure – Whether oral evidence can be admitted to vary the terms of the written agreement – Relevant considerations DEBTOR AND CREDITOR LAW:- The undefended list procedure if the High Court – Use of in obtaining expedited decisions regarding liquidated money claims |
| ELIZABETH ETIM ENEYO V. ADIM EFFIOM NSA & ANOR | DEBTOR AND CREDITOR – JUDGMENT DEBTOR: Time-bound order of payment made by court guaranteed against property of debtor – When debtor dies before expiration of time without fully satisfying the debt – Liability of his estate/heirs thereto – Relevant considerations |
| EMORI, ESQ. V. HON. EGWU ARONG EGWU & ANOR | DEBTOR AND CREDITOR – LEGAL FEES:- Action for recovery of fees from client – Necessary parties where client is a government parastatal – Where supervising Ministry is a necessary party that should be joined –Relevant considerations |
| GASALIYU OLA-IYA V. ALHAJI YAKUBU LASISI | DEBTOR AAND CREDITOR:- Recovery of payments pursuant to a sale – Transaction with disputed character [Hired-purchase or Credit –sale] – Appeal arising therefrom – Where suit originated via incompetent processes – How treated |
| GENERAL AUCTION ESTATE AND MONETARY COMPANY v | DEBTOR AND CREDITOR:- Recovery of loan from Incorporated company with no express powers to take loan – Whether power can had an implied power to borrow money for the purposes of its business |
| GOVERNOR TEGHWETE EJARUNE V. THE QUEEN | DEBTOR AND CREDITOR:- Agreement for grant of limited credit – Produce buyer for company – Misrepresentation inducing a grant beyond limit – Whether amounts to theft and fraudulent conversion or a debt to be paid back – How treated |
| GROSVENOR CASINOS LTD V. GHASSAN HALAOUI | DEBTOR AND CREDITOR – FOREIGN JUDGMENT:- Judgment debtor – Where neither carrying on business, nor ordinarily resident in the country within the jurisdiction of the original Court, nor appeared or otherwise submit to or agree to submit to the jurisdiction of that Court – Whether judgment arising from such foreign court can be registered against him in Nigeria |
| HALIFAX BUILDING SOCIETY AND ANOTHER V. KEIGHLEY AND ANOTHER | DEBTOR AND CREDITOR:- Mortgage of property covered by Fire Insurance – Insurance by Mortgagor apart from Statute and Mortgage Deed – Fire – Payment of Insurance Money to Mortgagor – Right of Mortgagee to Money paid to Mortgagor – Subrogation – Statute – Repeal – Extent of – Conveyancing Act, 1881 (44 & 45 Vict. c. 41), s. 23, sub-ss. 3, 4 – Law of Property Act, 1925 (15 Geo. 5, c. 20), s. 108, sub-ss. 3, 4; s. 207. |
| HASSAN GARBA V. MUSA LAWAN BIRNIWA & ANOR | DEBTOR AND CREDITOR:- Mortgage – Legality of a mortgage based on a third party’s property which was delivered to mortgagor as security for loan – Whether property can be recovered from mortgagee by third party on ground of illegality – How treated DEBTOR AND CREDITOR:- Title documents used as security for a loan – Where wrongfully used by creditor to obtain a loan from a bank which subsequently became distressed and is under receivership/management by NDIC– Whether injunction can be issued against receiver for the recovery of title document |
| HUNT V. WORSFOLD | DEBTOR AND CREDITOR LAW:- Mortgage – Matters arising therefrom – Party seeking invalidation of mortgage or its satisfaction so as to yield him possession of property connected therewith – Whether necessary party to proceedings |
| HYDRO-TECH NIGERIA LTD & ANOR V. LEADWAY ASSURANCE CO. LTD & ORS | DEBTOR AND CREDITOR LAW:- Equitable Mortgage – How created – Mere deposit of the title deeds which could be received or retained as a security for a loan – Agreement to create a legal mortgage – Mere equitable charge of the mortgagor’s property DEBTOR AND CREDITOR LAW:- Equitable mortgage – Whether it is unknown to law that an equitable mortgage is required to be registered before it can be held enforceable and/or admissible – Whether only a legal mortgage is mandatorily required to be made in deed form, executed by both parties and registered in accordance with the extant Law |
| I. M. IDOSU V. ABUDU Y. OJIKUTU | DEBTOR AND CREDITOR:- Garnishee proceedings – Third party applications – How treated |
| ILORIN SOUTH LOCAL GOVERNMENT V. SAMAD PAPER CONVERTING CO. LTD | DEBTOR AND CREDITOR LAW:- Application for interest on debt due – Whether equivalent to special damages for which principles relating thereto need to be satisfied DEBTOR AND CREDITOR LAW:-Claim for payment Where there is no credible and contrary evidence – Whether plaintiff needs only adduce minimal proof in discharging the burden of proof placed thereto DEBTOR AND CREDITOR LAW:- Prejudgment interest – Issue of interest payable on principal sum – Where party claims interest in the writ of summons by way of a vested right –Need for the claimant to prove the right as one arising by contract or equity or merchantile custom/usage – Need for the basis of the claim for interest to be pleaded and proved – Effect of failure thereto |
| IN RE ADAM EYTON, LIMITED. EX PARTE CHARLESWORTH. (CA) | DEBTOR AND CREDITOR LAW: Insolvency and Winding up – Removal of Liquidator – relevant considerations |
| IN RE CROMPTON AND CO. LIMITED. PLAYER V. CROMPTON & CO. LIMITED. | DEBTOR AND CREDITOR LAW:- Debenture and nature of rights arising therefrom – Recovery of sum covenanted for payment on a certain date – Where debtor company is wound up before such date – How treated |
| IN RE H. E. THORNE AND SON LIMITED | CREDITOR AND DEBTOR LAW: Insolvency – Recovery of sum due on advances by way of bill of sale from bankrupt debtor voluntary wound down – Mutual Dealings – Set-off – Relevant considerations |
| IN RE HARRISON | DEBTOR AND CREDITOR:- Recovery of debt due from deceased debtor’s estate – Where creditor is appointed – Receivership of estate – Degree of priority assigned debt |
| IN RE HULL AND COUNTY BANK. | CREDITOR AND DEBTOR LAW: Guaranteed debt – When instructing counsel for appearance in winding up proceedings is deemed superfluous – Demand for costs – Attitude of courts thereto |
| ISHOLA V. UNION BANK OF NIGERIA LIMITED | DEBTOR AND CREDITOR LAW – BANK DEBTOR:- Prof of repayment of loan – On whom lies – Evidence acceptable as proof – When expert evidence would not suffice DEBTOR AND CREDITOR LAW– BANK DEBTOR:- Bank loan secured via legal mortgage on property – Realisation of loan upon default in repayment – Illegality of mortgage and auction of mortgaged property – Need for same to be specifically pleaded – Relevant considerations |
| JACOBS V. MESSRS OLADUNNI BROTHERS | DEBTOR AND CREDITOR LAW:- Recovery of judgment debt – Proceedings against property wherein judgment debtors had interest – Whether family property held jointly by creditors and other persons in accordance with customary law can be attached towards the satisfaction of debt |
| KABIRU MUSA RANGAZA V. MICRO PLASTIC COMPANY LIMITED | DEBTOR AND CREDITOR LAW:– Recovery of sum outstanding on transactions pursuant to a contractual agency relationship – Where admission is indebtedness but quantum of debt contested – Action via undefended list – How treated DEBTOR AND CREDITOR LAW:– Satisfaction of indebtedness – A party who has admitted indebtedness to the other – Whether has duty to amply demonstrate to the trial court how the indebtedness admitted was liquidated – Whether the burden of proof in all cases of indebtedness is on the defendant who admitted being indebted to the plaintiff |
| KABO AIR LIMITED V. THE O’ CORPORATION LIMITED | DEBTOR AND CREDITOR LAW:- Judgment debtor – where order secured in foreign court – Whether can be registered and enforced in Nigeria – Relevant considerations DEBTOR & CREDITOR:- Foreign judgment – Where incapable of enforcement in the country of origin on account of the absence of assets of the judgment debtor – Whether basis to deprive the judgment creditor of the right to register and enforce the foreign judgment in Nigeria under Sections 3 and 4 of Foreign Judgment (Reciprocal Enforcement) Act, 1961, Cap. 152, Laws of the Federation of Nigeria, 1990 |
| LOVELL AND CHRISTMAS V. GILBERT – CWL | DEBTOR AND CREDITOR LAW: – Bankruptcy – Act of Bankruptcy – Receiving Order – Partnership Firm – Infant Partner – Judgment against Firm – Amendment of Proceeding – Bankruptcy Act 1883 (46 & 47 Vict. c. 52) ss. 4, 5, 6, 105 – Bankruptcy Rules 1886 rr. 260, 262, 264 – Rules of the Supreme Court, Order XLVIII. A rr. 5, 8. |
| MIDLAND RAILWAY COMPANY V. THE LOCAL BOARD FOR THE DISTRICT OF WITHINGTON | DEBTOR AND CREDITOR:- Money paid to public body pursuant to a statutory duty – When recoverable on the grounds of mistake – Need to proceed within statutory prescribed period – Effect of failure thereof |
| MR. CHIBUZOR UWAJE V. MR. EBIELIM MADUEMEZIA & ORS | |
| MR. L. A. OHIOWELE V. MR. EDWARD IGHODARO | DEBTOR AND CREDITOR LAW – PROOF OF INDEBTEDNESS:- Issuance of a check in satisfaction of a loan – Whether constitute evidence of indebtedness – Whether debtor asserts that cash payment had been made in redemption of the value on the checks – Burden of proving same – On whom lies |
| MR. SUNDAY ADEGBITE TAIWO V. SERAH ADEGBORO & ORS | DEBTOR AND CREDITOR LAW: – Loan obtained by a limited liability company on the security of a Deed of mortgage set against the property of company’s Managing Director – Auction of property without full compliance with the applicable statute – Attitude of court thereto |
| JUDGMENTS OF NIGERIAN COURTS | |
| By Substantive Areas | By Litigation/Procedure Areas |
JUDGMENTS BY AREAS OF PRACTICE
JUDGMENTS BY PRACTICE/PROCEDURE ISSUES
