Legalpedia Citation: (2014) Legalpedia (CA) 17101

In the Court of Appeal

Fri Apr 11, 2014

Suit Number: CA/L/566/2006

CORAM

PARTIES

DIAMOND PETROLEUM INTERNATIONAL LTD APPELLANTS

(1) GOVERNOR CENTRAL BANK OF NIGERIA

(2) CENTRAL BANK OF NIGERIA

(3) PEAK MERCHANT BANK LTD

RESPONDENTS 

AREA(S) OF LAW

SUMMARY OF FACTS

The Appellant acquired some shares in the 3rd Respondent’s bank and applied for the transfer of his money abroad so that he will invest it in the 3rd Respondent bank but before the money could be transferred to him, the 1st and 2nd Respondents revoked the banking license of the 3rd Respondent. Irked by the actions of the 1st and 2nd Respondent, the Appellant instituted an action in the Federal High Court Lagos claiming some declaratory and injunctive reliefs against the Respondents relying on the doctrine of legitimate or reasonable expectation. The 1st and 2nd Respondent filed a preliminary objection praying the trial Court to dismiss the Appellant’s claim as the Appellant did not have a locus standi to institute the action in addition to the fact that the suit did not disclose a reasonable cause of action against the Respondents. The trial Court upheld the said preliminary objection and dismissed the Appellant’s suit. Dissatisfied with the trial Court’s decision, the Appellant appealed to the Court of Appeal.

HELD

Appeal Dismissed

ISSUES

1. Whether having regard to the facts of this case, the learned trial Chief Judge was right in holding that the Appellant has no locus standing to maintain the action.?

2. Whether the learned trial Chief Judge was right in holding that the Appellant’s statement of claim discloses no cause of action ?

3. Whether the learned trial Chief Judge was right in striking out the suit in its entirety without taking into consideration the Appellant’s claims against the 3rd Respondent ?

 

RATIONES DECIDENDI

LOCUS STANDI-HOW THE ISSUE OF LOCUS STANDI CAN BE DETERMINED

“In determining the issue of locus standi it is only the claim or statement of claim of the claimant that is looked into”. PER IKYEGH, JCA

LOCUS STANDI-WHEN CAN A PLAINTIFF BE SAID TO HAVE LOCUS STANDI

“A plaintiff will take locus standi in a matter only if he has a special legal right or alternatively if he has a special interest in the performance of the duty sought to be enforced or whence his interest is adversely affected”. PER OSEJI JCA

LOCUS STANDI-THE PARAMOUNT CONSIDERATION IN LOCUS STANDI

“The paramount consideration is whether the person suing is a proper party to request an adjudication of the case”. PER IKYEGH, JCA

LOCUS STANDI-WHEN LOCUS STANDI WILL BE AVAILABLE TO A CLAIMANT

“The sufficient interest must also be linked to the action being justiciable and/or capable of judicial remedy before locus standing may be available to the claimant”. PER IKYEGH, JCA

REASONABLE CAUSE OF ACTION-HOW IS A REASONABLE CAUSE OF ACTION DETERMINED

“Reasonable cause of action is determined by looking at the face of the statement of claim without scrutinising documents accompanying the statement of claim and without, also, looking at the statement of defence or documents from the defence to ascertain whether the action is justiciable and might succeed or whether it has a chance of success in the sense that it is not a hopeless case”. PER IKYEGH, JCA

LOCUS STANDI- HOW IS A JUSTICIABLE ACTION ASCERTAINED

“Locus standing and cause of action therefore merge or collapse into each other for the purpose of ascertaining whether there is a justiciable action before the court”. PER IKYEGH, JCA

LOCUS STANDI-WHAT IS THE LEGAL CONCEPT OF LOCUS STANDI

“The legal concept of standing or locus standi is predicated on the assumption that no court is obliged to provide remedy for a claim in which the applicant has a remote, hypothetical or no interest”. PER OSEJI JCA

CASES CITED

A.G Kaduna State Vs Hassan (1985) NWLR (Pt.8)483Attorney – General of Kaduna State V. Hassan (1985) 2 NWLR (pt. 8) 483Centre for Oil Pollution Watch V. Nigerian National Petroleum Corporation (NNPC) (2013) 15 NWLR (pt. 1378) 556 at 574 – 576Ibrahim V. Osim (1988) 3 NWLR (pt. 82) 257,Nigeria Ports Plc V. Beecham Pharmaceutical PTE Ltd. and Anor (2012) 12 SC (pt. IV) 85Nyame V. FRN (2010) 7 NWLR (pt. 1193) 344Oduneye Vs Efunga (1990)11-12 SC 122Oloriode V. Oyebi (1984). I SCNLR 390;Ovie Whiskey Vs Olawoyin (1985) 6 NCLR 156Owodunni V. Registered Trustees, Celestial Church (2000) FWLR (pt. 9) 1455Thomas Vs Olufosoye (1986) NWLR (Pt18)669Usman Mohammed V. A. – G., Kaduna State IP.L.R. 701 at 717Utih and ors. V Onoyivwe and ors. (1991) 1 SC (pt. 1) 61Uwazuruonye V. Governor of Imo State and ors (2013) 8 NWLR (pt. 1355) 28 at 50 – 51

STATUTES REFERRED TO

Bank and Other Financial Institutions Decree (No. 40) of 1999 (BOFIA)

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