NIGERIA Law and Practice Contributed by: Tayo Oyetibo LP
preservation orders or other forms of relief necessary to safeguard the effectiveness of the arbitral process. While interim relief is most commonly associated with arbitration, courts may also grant similar preservative measures in support of ADR processes generally, par- ticularly where necessary to protect the subject matter of the dispute pending resolution. Accordingly, Nigerian courts play a supportive and facilitative role, ensuring that arbitration and ADR pro- ceedings are not rendered ineffective by the absence of coercive powers. 6.3 Timing of Applications for Interim Relief Applications for interim reliefs are generally made at the case management or pre-trial stage. However, they can also be made midway if an emerging threat A party may apply for security for costs in Nigeria, both in litigation and, in appropriate cases, in arbitra- tion. Security for costs is a discretionary remedy by which the court orders a claimant (or, in some cases, an appellant) to provide security, typically by way of deposit or bank guarantee, for the defendant’s costs of defending the action, in the event that the claim fails. 6.5 Interim Injunctions A party may apply for interim injunctions under Nige- rian law. Such applications are typically made at the early stage of proceedings, often before the defendant has been put on notice and are designed to address situations of real urgency. An interim injunction is usually granted pending the hearing and determination of a motion on notice for an interlocutory injunction. Its primary purpose is to preserve the res and maintain the status quo so that the subject matter of the dispute is not destroyed, dissipated or otherwise compromised before the court has an opportunity to hear the parties fully. needs to be addressed. 6.4 Security for Costs
The courts grant interim injunctions only in excep- tional circumstances, where there is clear evidence of: • real urgency or emergency; • a risk of irreparable harm if the relief is not granted; and • the necessity to prevent a fait accompli that would render subsequent proceedings nugatory. At this stage, the court does not engage in a detailed examination of the merits of the substantive dispute or resolve factual issues. The focus is limited to ensur- ing that the parties’ rights are temporarily protected pending a fuller hearing. Accordingly, interim injunctions are a short-term, protective remedy, granted sparingly and strictly to preserve the status quo until the court can properly determine the interlocutory application. 6.6 Summary Judgment Under Nigerian law, a party may apply for summary judgment and such applications are typically made before trial to secure a prompt determination of claims that do not merit a full trial. Summary judgment is available in circumstances where the claimant can demonstrate that the defend- ant has no real or reasonable defence to the claim. It is designed to prevent unnecessary delay and expense in cases where the defence is merely formal, evasive or lacking in substance. In determining such an application, the court will examine the affidavit evidence and the proposed defence to ascertain whether a bona fide triable issue exists. The settled principle is that summary judgment will only be granted where, even assuming the facts put forward by the defendant to be true, they do not disclose any defence in law. Conversely, where the defendant is able to show a genuine issue requiring trial or raises a defence that is not frivolous or vexatious, the court will decline to grant summary judgment and instead grant leave to defend the action.
416 CHAMBERS.COM
Powered by FlippingBook