Enforcement of Foreign Judgements in Nigeria

The world has become a global village, fostering numerous benefits, such as increased trade opportunities, cultural exchange, and technological advancement. Transactions and relationships now transcend borders, with goods, services, and even marriages crossing national boundaries. This interconnectedness also brings challenges, including cross-border legal disputes arising from contract breaches and rights violations. Differences in jurisdiction should not be why a successful litigant in a foreign country is unable to enforce a judgment against a defendant who has assets or resides in Nigeria.

In this article, we discuss how a successful litigant can enforce a foreign judgment in Nigeria.

FOREIGN JUDGEMENTS THAT ARE ENFORCEABLE IN NIGERIA

The Reciprocal Enforcement of Judgments Ordinance, Cap. 175, Laws of the Federation of Nigeria and Lagos, 1958[1], the Foreign Judgments (Reciprocal Enforcement) Act, 2004[2], and the Civil Procedure Rules of various High Courts regulate the enforcement of foreign judgment in Nigeria.

Foreign Judgments can be enforced in Nigeria, however, in order for these judgments to be enforced, they must first be recognized and registered in Nigeria. Section  3(2) of the Foreign Judgments (Reciprocal Enforcement) Act outlines the following as requirements for recognition/registration of foreign judgments:

I.               The Judgment must be one given by a superior court of record in the foreign country.

II.             The judgment must be final and conclusive.

III.           The original court must have had jurisdiction to hear the matter.

IV.          The judgment is in respect of a definite sum of money.

V.            The Judgment must have been one that is capable of being enforced in the jurisdiction where the judgment was given.

VI.          The Nigerian Minister of Justice has made an Order that judgments from the foreign country be recognised and enforced and is satisfied that the original country will also recognise and enforce Nigerian judgments. [3]

In addition to the above-mentioned requirements, for a judgment to be eligible for registration, the judgment debtor must have voluntarily submitted to the jurisdiction of the foreign court,[4] and the judgment must have been delivered within 12 months of the application for enforcement.

PROCEDURE FOR ENFORCEMENT OF FOREIGN JUDGMENT

1.     Recognition/registration of the foreign judgment: Before a foreign judgment can be enforced in Nigeria, it must first be recognized and registered. There are two methods by which a party or beneficiary of a foreign judgment can achieve this:

a.     Through the Foreign Judgments (Reciprocal Enforcement) Act: This method of enforcement is based on the principle of reciprocity. It requires that the foreign country whose court issued the judgment must also be willing to enforce judgments from Nigerian courts in its jurisdiction. To register a foreign judgment under this procedure, the judgment must satisfy the requirements stated above, and the interested party must file an ex-parte application, typically as an originating motion or petition, requesting leave to register the foreign judgment.

Once registered, the Nigerian High Court has the authority to enforce the foreign judgment as though it were a domestic judgment. The time limit for enforcing a foreign judgment is six years from the date of its delivery.[5]

It is important to note that the court has the discretion to register to the judgment in Nigeria.

b.    Through Enforcement under Common Law: Enforcement through this method does not depend on the principle of reciprocity. The foreign judgment serves as the cause of action rather than the substantive issues that led to the judgment. The judgment creditor files a writ of summons, accompanied by a motion for summary judgment. Where the summary judgment application is granted, the judgment creditor can proceed to seek enforcement of the judgment.

2.     Applying for Enforcement of the Foreign Judgement: Upon recognition/registration of the foreign judgment, the judgment creditor can proceed to enforce the judgment through any of the following means:

a.     Writ of Execution: This enforcement order permits the seizure and sale of the debtor’s property by the court to satisfy the judgment.

b.    Garnishee Proceedings: Where the judgment debtor’s money is in the possession of a third party, the court can direct that third party (the garnishee) to pay the owed amount to the court, which will then transfer it to the judgment creditor (the garnishor) to settle the judgment debt.

c.     Judgement Summons: The judgment creditor can apply to the court for the issuance of a judgment debtor summons, which requires the debtor to appear in court and answer, under oath, questions about their financial means. Against the judgment debtor, the court can order that the debtor be imprisoned for failing to pay when it is found that they have the means but refuse to settle the debt or order the attachment and sale of the debtor’s property, or allow payment in installments.

d.    Writ of Sequestration: The court can appoint commissioners to enter the debtor’s immovable property to collect and retain rent or profits. Alternatively, the court may seize and detain the property until the debtor clears themselves of contempt or until a new order is made, such as settling the debt from the funds generated from the property.

CONCLUSION

Understanding the intricacies of jurisdiction, recognition, and registration is essential for the successful enforcement of foreign judgments. While the process may appear complex, it can be efficiently navigated with the right legal expertise.

La Peritum Law Practice specializes in cross-border legal matters, and we can assist you in navigating the complexities of enforcing foreign judgments in Nigeria. For inquiries, please email us at enquiries@laperitum.com  or click here to contact us directly.

[1] The Ordinance governs the enforcement of judgments originating from England, Scotland, Ireland, Sierra Leone, Ghana, Gambia, Barbados, Bermuda, Gibraltar, Grenada, Jamaica, the Leeward Islands, Newfoundland, New South Wales, St. Lucia, St. Vincent, and Trinidad and Tobago. Additionally, judgments from any Commonwealth country are enforced under the provisions of the Ordinance.

[2] The Act applies to countries that have established reciprocal agreements with Nigeria for the enforcement of judgments. Countries with which Nigeria maintains such agreements should be listed in Part 1, Section 3 of the Foreign Judgments (Reciprocal Enforcement) Act through an order issued by the Minister of Justice. However, this order has yet to be issued.

[3] Section 12 of the Foreign Judgments (Reciprocal Enforcement) Act,

[4] Conoil v Vitols S.A. (2019) 9 NWLR (Pt. 1625) 463.

[5] Section 4 of the Foreign Judgments (Reciprocal Enforcement) Act,