$12bn Recovery Suit: Court rules against Chevron

A Lagos Division of the Federal High Court yesterday awarded a
N100,000 cost against Chevron Petroleum Nigeria Limited in a $12
billion debt recovery suit by the Federal Government over oil
shipment.

Mojisola Olatoregun, the judge, awarded the cost after striking
out the company’s preliminary objection by the second defendant,
Chevron Petroleum Nigeria Ltd, challenging the court’s jurisdiction
over service of court processes.

According to the judge, the cost should be paid within seven
days of the award.

The Federal Government filed the suit against Chevron Nigeria
Ltd, and Chevron Petroleum Nigeria Ltd, as first and second
defendants respectively.

This suit is one among several suits seeking to recover almost
$12 billion in missing crude oil revenue from some international
oil companies.

The Federal Government was represented by Ituah Imhanze and
Chineme Onuoma, while the first and second defendants were
represented by Miannaya Essen, a Senior Advocate of Nigeria.

The defence counsel had challenged the court’s jurisdiction,
urging it to set aside purported service of an amended writ of
summons and amended statement of claim on the second defendant, for
being incompetent.

The counsel had argued that the second defendant was not served
with the amended processes in accordance with the provisions of the
law.

Delivering its ruling on the objection, the court held that
service of originating processes was fundamental to the
jurisdiction of the court, adding that such service must be
personal except where personal service is not possible.

She held that by the provisions of Order 6 Rule 3, of the
Federal High Court Civil Procedure Rules, no such service of court
processes shall be necessary, where the defendant by his legal
practitioner, undertakes in writing to take service.

The court further held that where a party by this means, accepts
service, he cannot deny same, adding that from records, it could be
recalled that the processes were served.

The court consequently held: “This application is totally and
absolutely a waste of time and it is unbelievable”

A Lagos Division of the Federal High Court yesterday awarded a
N100,000 cost against Chevron Petroleum Nigeria Limited in a $12
billion debt recovery suit by the Federal Government over oil
shipment.

Mojisola Olatoregun, the judge, awarded the cost after striking
out the company’s preliminary objection by the second defendant,
Chevron Petroleum Nigeria Ltd, challenging the court’s jurisdiction
over service of court processes.

According to the judge, the cost should be paid within seven
days of the award.

The Federal Government filed the suit against Chevron Nigeria
Ltd, and Chevron Petroleum Nigeria Ltd, as first and second
defendants respectively.

This suit is one among several suits seeking to recover almost
$12 billion in missing crude oil revenue from some international
oil companies.

The Federal Government was represented by Ituah Imhanze and
Chineme Onuoma, while the first and second defendants were
represented by Miannaya Essen, a Senior Advocate of Nigeria.

The defence counsel had challenged the court’s jurisdiction,
urging it to set aside purported service of an amended writ of
summons and amended statement of claim on the second defendant, for
being incompetent.

The counsel had argued that the second defendant was not served
with the amended processes in accordance with the provisions of the
law.

Delivering its ruling on the objection, the court held that
service of originating processes was fundamental to the
jurisdiction of the court, adding that such service must be
personal except where personal service is not possible.

She held that by the provisions of Order 6 Rule 3, of the
Federal High Court Civil Procedure Rules, no such service of court
processes shall be necessary, where the defendant by his legal
practitioner, undertakes in writing to take service.

The court further held that where a party by this means, accepts
service, he cannot deny same, adding that from records, it could be
recalled that the processes were served.

The court consequently held: “This application is totally and
absolutely a waste of time and it is unbelievable”