DANA AIRLINES LIMITED V. MRS. TITIOLA AIKHOMU (2020)

CASE SUMMARY

Court of Appeal (Lagos Division)

Before Their Lordships:

  • Tom Shaibu Yakubu JCA
  • Jamilu Yammama Tukur JCA
  • Ebiowe Tobi JCA

Suit number: A/L/255/2017

Delivered on: 2019-10-25

Parties:

Appellant:

  • Dana Airlines Limited

Respondents:

  • Mrs. Titiola Aikhomu
  • Stacey Veolette Sellers

Background

This case arose from a tragic incident involving a Dana Airlines flight that crashed on June 3, 2012, resulting in the death of Mr. Ehime Aikhomu, the late husband of the first respondent, Mrs. Titiola Aikhomu. Following the crash, Mrs. Aikhomu, acting as the administratrix of her husband's estate, filed a suit against Dana Airlines and the estate of the flight's pilot, claiming an advance payment of $30,000 to cover immediate economic needs, along with pre and post-judgment interest.

Issues

The Court of Appeal addressed several crucial issues:

  1. Whether the trial judge erred in deeming a portion of the appellant's counter-affidavit incompetent.
  2. Whether the trial judge correctly interpreted the Nigerian Civil Aviation Act and the Montreal Convention to find that Dana Airlines breached its fiduciary duty.
  3. Whether the awards of pre-judgment interest at 21% and post-judgment interest at 10% were appropriate.
  4. Whether the judge judiciously exercised discretion in awarding $10,000 as costs to the respondent.

Ratio Decidendi

The Court held that:

  1. The trial judge correctly deemed the appellant's counter-affidavit incompetent due to failure to comply with evidentiary requirements.
  2. The mandatory language of 'shall' in the Civil Aviation Act established that Dana Airlines was obliged to make the advance payment within 30 days.
  3. The award of 21% pre-judgment interest was justified based on the breach of fiduciary duty and the need to mitigate harm to the dependents of the deceased.
  4. The initial award of $10,000 in costs was excessive and punitive, thus unjustified.

Court Findings

The Court found that the first respondent had initiated proceedings correctly and that the airline had failed its fiduciary obligations. The requirement to provide a $30,000 advance payment was clear, and the airline's failure to process it timely was not excusable. The court deemed the interest award appropriate to ensure justice for the dependents.

Conclusion

The appeal was partially allowed; while the decision of the trial court was upheld, the punitive cost award against the airline was set aside, and a more reasonable cost of N100,000 was instead granted to the respondent.

Significance

This case significantly reinforces the concept of timely compensation in aviation disaster scenarios, emphasizes fiduciary duties owed by carriers, and outlines the importance of proper legal practices in the filing of affidavits as stipulated by the Evidence Act of Nigeria.

Counsel:

  • Mrs. Taiwo Kola-Balogun
  • F. Ajibola Dalley, Esq.