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MEGATECH ENGINEERING LIMITED v. SKY VISION GLOBAL NETWORKS LLC (2014)

MEGATECH ENGINEERING LIMITED v. SKY VISION GLOBAL NETWORKS LLC

(2014)LCN/6974(CA)

RATIO

JURISDICTION OF THE COURT AND WHEN IT IS RAISED BY A PARTY

The law is settled that where the issue of jurisdiction is raised, the Court has a duty only to view the Statement of Claim and the facts stated therein – TUKUR V. GOVT OF GONOOLA STATE (NO.2) (1989) 4 NWLR (PT.119) 577.

Basically, and indeed decidedly, a Court would have the territorial jurisdiction to entertain a dispute where any of these factors exists viz:
(a) Where the Contract in question was made
(b) Where the contract is to be performed.
(c) Where the Defendant resides,
– I. K. MARTINS (NIG) LTD V. UPC (1992) 1 NWLR (PT.217) 322 @ 331; EGBO V. LAGUMA (1988) 3 NWLR (PT.80) 109 @ 126 – 127.
But where the parties to a dispute have, by agreement in writing, chosen a designated forum for resolving their disputes (if any), the fact that the Court which has been chosen in their agreement does not have the territorial jurisdiction to entertain the dispute, as long as the Court has the jurisdiction to entertain the subject matter of the dispute, that suffices.
Clause 30 in the Service Agreement stipulates thus:
“The service Agreement shall be governed by and construed in accordance with the Laws of England and the facts hereby irrevocably agree to submit any dispute connected with or arising there from to the exclusive jurisdiction of the competent Court in London. Notwithstanding, the exclusive jurisdiction of the competent Court in London each party irrevocably confirms and agrees in advance that Judgments or Orders rendered by the competent Court in London shall be enforceable in the place of business and/or incorporation even if such enforceability is not enforceable under the applicable laws and/or treaties. Notwithstanding anything to the contrary where there may be difficulties of any kind whatsoever to enforce Judgment and/or orders issued by a competent Court in London in the place of business and/or incorporation of customer, their company at ifs sale discretion may then or alternatively also seek any remedy and file any action including without limitations injunctive relief in a Court located at the Customers place of business and incorporation and customer hereby irrevocably confirms and agrees in advance that such Court shall have jurisdiction over such matters. Notwithstanding, any contradiction in the above in what follows immediately below, customer additionally confirms that in any matter related to its failure to make payment in regard to its obligations under this Agreement, it agrees that Sky Vision shall be entitled to file any actions and seek remedies and enforce judgments and/or Orders in any jurisdiction which Skyvision, in its sole discretion may deem fit and the parties hereby irrevocably agree to such choice or jurisdiction by Sky vision with respect to such matter”
A cursory look at the combined effects of paragraphs 29 and 30 of the Respondent’s Claim i.e SKY VISION GLOBAL NETWORKS LLC (Claimant in the Court below) and the underlined portion of Clause 30 in the Service Agreement, show unequivocally that SKY VISION it is, that had the discretion to file any action anywhere it pleases, and that binds the parties.
This term in the Agreement is sacrosanct and paragraphs 29 and 30 of the Statements of Claim confirm Clause 30 of the Service Agreement. The provisions of Order 2 Rule 3 of the High Court of Lagos State (Civil Procedure Rules 2004) cannot override this agreement by the parties.
The Order provides thus:
“All suits for the specific performance or upon the breach of any contract may be commenced and delivered in the Judicial Division in which such contract ought to have been performed or in which the Defendant resides or carries on business. “
This provision by the use of the word “MAY” is discretionary and not mandatory. Moreso a Court must always enforce a ‘jurisdiction Clause” in an agreement between parties, unless if to do that would contravene any provisions of a statute or negate any public policy.

WHAT IS JURISDICTION – In LATIN, juris diction (from the lain ius iuris meaning ‘LAW’ and meaning.
“to speak is the practical authority granted to a formally constituted legal body to deal with and make pronouncements on legal matters and by implication to administer justice within a defined area of responsibility”
Jurisdiction draws its substance from public international law, conflict of laws, constitutional law and the powers of the executive and legislative branches of Government to allocate resources to better serve the need of its native society. See WIKIPEDIA KHp./7en/vikepedia.org.
Jurisdiction can be further subdivided into:-
(1) Personal Jurisdiction
(2) Territorial Jurisdiction
(3) Subject matter Jurisdiction
Jurisdiction can be unlimited if no restriction is imposed, and especially where the pleadings of the parties do not specify the place of performance of the contract. Per RITA NOSAKHARE PEMU, J.C.A.