.Court says no urgency on the matter
By Onyewuchi Ojinnaka
A South African retail company, Shoprite Checkers (PYT) Limited, on Monday lost the application seeking to discharge a mareva injunction order restraining it from transferring its assets outside Nigeria.
The vacation judge at the Federal High Court sitting in Lagos Nigeria, Justice Nicholas Oweibo, after hearing an application for urgency filed by Shoprite, ruled that the matter was not urgent enough to be heard during the ongoing court vacation.
The judge had at the last proceedings on the mater adjourned till September 7 to hear application of urgency filed by counsel to Shoprite.
Shoprite is seeking to overturn a July 14, 2020 mareva injunction made by Justice Mohammed Liman of the same court in favour of a Nigerian firm, A.I.C. Limited.
A.I.C. Limited, which in 2018 secured a $10 million judgment against Shoprite in a breach of contract suit, obtained the mareva injunction against the backdrop of Shoprite’s announcement to pull out of Nigeria.
Justice Liman restrained Shoprite “from transferring, assigning, charging, disposing of its trademark, franchise and intellectual property in a manner that will alter, dissipate or remove these non-cash assets and other assets, including but not limited to trade receivables, trade payables, payment for purchase of merchandise, from within the jurisdiction of this honourable court.”
The judge also mandated the 2nd respondent, Retail Supermarket Nigeria Limited, “to disclose its audited financial statements for the years ending 2018 and 2019 to enable the judgement creditor-applicant determine the judgement debtor’s-respondent’s funds in its custody in order to preserve same in satisfaction of the judgment of the Court of Appeal in Appeal No: CA/L/288/2018.”
The $10 million judgement was in 2018 entered in favour of A.I.C. Limited against Shoprite by Justice Lateef Lawal-Akapo of the Lagos State High Court in Ikeja.
Disatisfied with the judgement, Shoprite had gone on appeal but it equally lost at the Court of Appeal and has now gone to the Supreme Court.
A.I.C. Limited through its lawyer, Prof. Taiwo Oshinpitan (SAN) had approached Justice Liman’s court through an exparte application for an order of Mareva Injunction restraining Shoprite Checker (PYT), described as a Judgment Debtor, its privies, officers, nominees, successors-in-title, subsidiaries or anyone acting through it or by it from transferring, assigning, charging, disposing of its trademark, franchise and intellectual property in a manner that will alter, dissipate or remove these non cash assets from the court’s jurisdiction.
The applicant, which described itself as judgement creditor, had also asked the court for an order of Mareva injunction restraining Shoprite Checkers (PYT) its privies, officers, nominees, successors-in-title, subsidiaries or anyone acting through it or by it from transferring, assigning, charging, disposing of its other assets including but not limited to trade receivables, trade payables, payment for purchase of merchandise within the jurisdiction of this Honourable court.
Furthermore, it asked the court for an order of Mareva Injunction restraining Shoprite Checker, its privies, officers, nominees, successors-in-title, subsidiaries or anyone acting through it or by it from transferring, assigning, charging, disposing of its other assets including but not limited to trade receivables, trade payables, payment for purchase of merchandise within the jurisdiction of the Court.
The applicant also requested for an order restraining Retail Supermarket Nigeria Limited, from making any financial payments whether by itself, privies. officers, nominees, successors-in-title, subsidiaries or anyone acting through it or by it to Shoprite Checker under the Administration and Technical Services Agreement between the Shoprite and it, in order not to render the Judgment of the Court of Appeal in Suit No: CA/L/288/2018 nugatory or the anticipated judgment from the Supreme Court in the appeal filed by it.
Besides, it asked for an order of the court compelling and mandating the Retail Supermarket Nigeria Limited, to disclose its Audited Financial Statements for the years ending 2018 and 2019 to enable it determine the amount of the Shoprite Checker’s funds in its custody in order to preserve same in satisfaction of the judgment of the Court of Appeal in Appeal No: CA/L/288/2018.
A.I.C Limited also asked the court to restraining the Registrar of Trademarks, from recognizing any sale or assignment of any trademark, franchise of whatever kind reflecting any transaction by either Shoprite Checker or the Retail Supermarket Nigeria Limited, in connection with the corporate existence or approving any pending royalty(ies), interest, management fee, trade payment for the Shoprite Checker Limited, of the anticipated judgment turn but not less than $12.4 million US Dollars and 10% post judgement interest per annum of the subsisting valid judgment debt.
The applicant also asked the court for an Order compelling and mandating the fourth Respondent (NOTAP) to disclose all pending requests by the Respondent for accrued payment in favour of Shoprite Checker, to be remitted outside Nigeria. And an order directing Shoprite Checker and Retail Supermarket Nigeria Limited, to maintain the status quo by preserving the terms of the Administration and Technical Services Agreement in order not to render the judgment of the Court of Appeal in this Suit No. Appeal No: CA/L/288/2018, nugatory
A.I.C. limited equally asked for an order directing the second respondent to file an Affidavit to show compliance with the Court’s Orders, within seven days of service of orders.
Justice Liman, after listening to the submissions of Prof. Oshinpintan (SAN) on the exparte application and affidavit in support, deposed to by one Joshua Oluwagbemiga Akinyemi, had granted to all the reliefs sought by A.I.C. Limited against Shoprite Checker (PYT) Limited and other respondents.
