ALLIED INTERNATIONAL INDUSTRIES LIMITED V. ECOBANK NIGERIA (2023)

Background

This case arises from a dispute between Allied International Industries Limited (the Appellants) and Ecobank Nigeria Limited (the 1st Respondent) regarding a claim for declaratory and monetary reliefs that were initiated at the High Court of Kano State. Due to the inability of the court to hear the matter during its annual vacation, the case was reassigned, and the Appellants received an order setting their matter for hearing. However, it was subsequently struck out for want of diligent prosecution.

To address this, the Appellants filed an ex-parte application to relist the suit, which was granted without notifying the 1st Respondent. Consequently, a judgment was entered in favor of the Appellants on 27 October 2011. The 1st Respondent, unaware of the proceedings, moved to set aside this judgment, leading to further appeals.

Issues

The primary issues addressed by the court were:

1. Whether the lower court properly examined the preliminary objection before it.
2. Whether the lower court was justified in setting aside the trial court’s judgment, effectively striking out the suit.

Ratio Decidendi

The court concluded that:

1. Failure to serve necessary notice to the 1st Respondent, following the relisting of the suit, constituted a fundamental violation of the right to fair hearing.
2. The lower court had the jurisdiction to rule on the appeal as it concerned the constitutional guarantee of fair hearing under section 241(1)(d) and (f).
3. The initial decision of the trial court was deemed final, thus not requiring leave to appeal.

Court Findings

The Supreme Court found that:

1. The relisting granted to the Appellants was void due to the lack of notice to the 1st Respondent, constituting denial of fair hearing.
2. The judgment in absence of the 1st Respondent was void ab initio, justifying the lower court’s decision to strike it out.
3. The Appellants’ appeal lacked merit due to failure to adhere to procedural requirements necessary for a just outcome.

Conclusion

The court dismissed the appeal, affirming the judgment of the lower court that had set aside the trial court's judgment for a breach of due process. The rights of the parties to procedure and fair hearing were upheld as essential factors in judicial determination.

Significance

This case underscores the significance of procedural fairness and the fundamental right to a fair hearing in Nigerian law. It highlights the importance of notifying involved parties in litigation processes and reaffirms the broad provisions under the Nigerian Constitution regarding appeals in matters of fundamental rights.