IN
THE NATIONAL INDUSTRIAL COURT OF NIGERIA
IN THE LAGOS JUDICIAL DIVISION
HOLDEN AT LAGOS
BEFORE
HIS LORDSHIP: HONOURABLE
JUSTICE S.A. YELWA……JUDGE
THIS WEDNESDAY, 10TH DAY OF
DECEMBER; 2025 SUIT
NO: NICN/LA/62/2023
BETWEEN
BODUNRIN AKINSUROJU …………………………………………………………………. CLAIMANT
AND
CHI LIMITED…………………………………………………..………………………………..DEFENDANT
JUDGMENT
The claimant’s claims as per the
General Form of Complaint and statement of facts and other processes dated
6/3/2023 and filed on the same day against the defendant are as follows:
a.
A DECLARATION that the purported termination
of the Claimant’s contract of service from the employment of the Defendant on
the basis of violating the Defendant’s Code of Conduct, Disciplinary and
Grievance Procedure Manual is unfair, illegal and oppressive.
b.
A DECLARATION that the purported termination
of the Claimant’s contract by letter dated December 23,2022 from the employment
of the Defendant on the basis of unfounded and unproven allegations is wrongful
and violates the Claimant’s terms of employment with defendant.
c.
AN ORDER withdrawing the Defendant’s
termination letter dated December 23,2022.
d.
AN ORDER directing the Defendant to pay the
Claimant his entitlements including salaries, allowances from December 2022
till judgment is given in this suit.
e.
AN ORDER directing the Respondent to pay the
Claimant compensation/ general damages of N200,000,000.00 (Two Hundred Million
Naira Only) for the wrongful termination.
f.
Interest on the judgment sum at the rate 5%
until the total sum is liquidated.
g. The
sum of N3,000,000.00 (Three Million Naira Only) being the cost of this action.
The
defendant upon being served with the claimant’s processes, by leave of court
sought for, and obtained on 21/5/2024 filed and served its statement of defence
in contest to the claimant’s claim along with other accompanying processes
dated 25/5/2023 and filed on 26/5/2023 encompassing the defendant’s
Counterclaim. In the counterclaim, the counter-claimant seeks for the following
reliefs against the claimant/defendant to the counter-claim; viz:
A. AN
ORDER directing the claimant/defendant to the counter-claim to return all the
defendant/counter-claimant’s properties in his possession, including; Laptop
(Hp Elitebook 840 G6) 2021 model with serial number 5CG0254NB1, Safety boot,
Identity card, Defendants HMO ID card; and Computer Mouse;
Or in the alternative, pay the sum of
N561,375.00 (Five hundred and sixty- one Thousand, Three Hundred and seventy-
five Naira) as special damages for the value of the defendant’s properties.
B.
An Order directing the claimant/defendant to
counter claim to pay the sum of N5,000,000 (Five million naira) as punitive and
general damages.
On
1/7/2024, the claimant by leave of court similarly filed his reply to the
statement of defence alongside his additional witness statement on oath out of
time. Parties’ pleadings were fully exchanged and closed and the suit proceeded
to trial on 9/7/2024.
TRIAL
Mr.
Bodunrin Akinsuroju testified as CW1 at the trial of this case. He swore on the
Holy Bible and adopted his Witness statement on oath. The following documents
were tendered and admitted in evidence without any objection by the counsel for
the defendant. They are:
1)
Letter of appointment of the claimant dated
16/9/2011 -Exhibit CW1
2)
Letter of termination, dated 23/12/2022
-Exhibit CW2
3)
Hand book and Code of Conduct of the
defendant’s company- Exhibit CW3
4)
Query Form dated 28/10/2022- Exhibit CW4
5)
Solicitor’s letter of 17/1/2023 – Exhibit CW5;
and
6)
Mail letter of 29/9/2022 – Exhibit CW6.
Furthermore, CW1 adopted his additional witness statement on oath
which he deposed to on 1/7/2024 as his evidence and tendered some documents
which were admitted in evidence as follows;
7)
ERP -Exhibit CW7
8)
Bundle of mails – Exhibit CW8, a, b, & c
9)
Purchase Orders – Exhibit CW9 and;
10)
Certificate of compliance – Exhibit -CW10
However, while admitting in evidence these
documents, this court directed the defence counsel to state in his final
written address his reasons for objecting to the admissibility of Exhibits CW7,
CW8, a,b,& c, CW9 and CW10 and explain why this court should not attach
evidential value or weight thereto.
CW1 as witness was cross examined by counsel
for the defendant. There was no reexamination of the witness and on application
of the claimant’s counsel, the case of the claimant was closed.
On 13/11/2024, the defendant opened its case
by calling solely
Oyekanmi Jagun as DW1, who
adopted her witness statement on oath which she deposed to on 26/5/2023. In the
course, 3 documents were tendered and admitted in evidence as Exhibits DW1-DW3,
respectively;
1)
Query Form dated 28/10/2022 -Exhibit DW1
2)
Response to Query dated 31/10/2022 -Exhibit
DW2; and
3)
Report of disciplinary committee Hearing –
Exhibit DW3
DW1 as witness was consequently cross examined by counsel for the
claimant and in the absence of any re-examination,
defendant’s case was closed.
Parties filed their respective final written addresses in
compliance with rules of this court.
DEFENDANT’S FINAL WRITTEN ADDRESS:
Counsel for the defendant filed his
Final written address dated 12/12/2024 on the same day wherein he formulated 3
issues for determination to the effect that:
a. Whether the claimant’s employment was
lawfully terminated.
b. Whether
the claimant is entitled to any of the reliefs, sought.
c.
Whether the defendant is entitled to a
grant of his counter-claims.
On the first
issue herein above; it is
submitted by counsel that the claimant’s employment was lawfully terminated as
the facts of the claimant’s employment speaks for itself through the claimant’s
contract of employment and company’s code of conduct handbook. Counsel argued
that it is usual practice to provide an employee with a company’s code of
conduct and that in the instant case, the code was tendered by the claimant
himself during trial which was admitted as Exhibit CW3. Counsel cited SKYBANK
PLC v ADEGUN (2024)15 NWLR pt 1960, p1 @42 where the court held that: “The
terms of an employment relationship are generally contained in the service
agreement, letter of employment, employee hand book or any other document that
may be introduced from time to time during the subsistence of the
employer/employee relationship. Where parties have entered into agreement
voluntarily and there is nothing to show that such an agreement was obtained by mistake, deception or
misrepresentation, they are bound by the terms of the agreement”
Counsel further cited the case of
DURUGBOR vs ZENITH BANK PLC (2014) 40 NLLR pt.122 p.225 which case reiterated
that it is the terms and conditions set out in the company’s hand book that
form the basis of the contract of employment between the company and its
employees. Moreso, counsel cited LADIPO v CHEVRON NIG LIMITED (2005)1 NWLR
pt907 p.277@ 289 where it was decided that if there is more than one
document that provides for the terms of employment, such documents must be
construed jointly in order to have the correct and total account of what the
terms of the contract are.
It is the submission of counsel that
Section 4.1.3 of the Defendant’s handbook/code provides for employees to
confirm with the laid down Company Standard Operating Procedure which failure
to comply will result to; first offence-final warning, second offence-suspension,
third offence-termination, while Section 4.1.4 is to the effect that employees
are not supposed to breach professional/business ethics of the company, which
failure to comply with, will result to termination.
This court is enjoined by counsel to
look at Exhibit CW3 which is the defendant’s handbook and code of conduct.
Counsel further submitted that it is trite law that an employer is not bound to
give reasons for terminating the appointment of his employee, but that where he
gives reason or cause, for such termination, the law imposes on him a duty to
establish the reason to the satisfaction of the court.
Counsel referred this court to the case of
SPDC LTD v OLAREWAJU (2008)18 NWLR pt 1118 p.1 @19. Counsel contended that the
right document where reasons for the termination is contained is the
termination letter of the claimant to which the court should confine itself and
not to go outside it. Here, counsel maintained that Exhibit CW2 being the
termination letter dated 23/12/2023 is to be looked into where it expressly
provided for the reason for the termination.
Counsel restated the background of the
breaches of by the claimant as contained
in Exhibit CW6 which is a mail of 29/9/2023. On this basis an investigation
carried out by the defendant revealed that the claimant had raised 14 Pos with
total cost of N11,000,091 (Eleven Million, Ninety-One Thousand, Naira in favour
of a vendor named TODEM LACK NIGERIA LTD from December, 2021 to February, 2022
after which a query was issued to the claimant and same responded to by him to
the effect that “I confirm that some Purchase Orders were raised by me in
favour of the vendor named TODEM LACK NIG. LTD” Counsel submitted that
this is also captured in paragraph 11 of the claimant’s statement of facts
wherein claimant confirmed raising some purchase orders for Todem Lack NIG,
LTD. Counsel continued that the claimant is well aware of the standard operating
procedure and business ethics of the defendant by virtue of the defendant’s
handbook which he tendered in evidence. It is contended that because of the
response of the claimant to the query, that a disciplinary committee was set up
to afford him the right to be heard in line with the handbook. Counsel relied
on UBA PLC v ORANUBA (2014)2 NWLR, pt 1390 on which basis, the court held the
employer is entitled to set up a panel to investigate the allegations. However,
the panel of inqury not being a court of trial, none of the persons whose name
feature in the inquiry can insist on any right to cross-examine other persons
who make allegations or present memoranda at the inquiry. What remains to be
observed is that the employee be informed and be given opportunity to refute,
explain or contradict it or otherwise esculpate himself by making
representations or defence thereto before the employer can lawfully use those
points as bases for dispensing with his services.
Counsel is of the view that the above
cardinal was observed by the defendant in this case when the claimant was given
fair hearing to explain the circumstances of the accusations leveled against
him and that it was on the basis of the findings of the Disciplinary Committee
that the claimant’s employment was terminated. Counsel referred this court to
Exhibit DW3, particularly paragraphs on the panel findings and panel
recommendation and concluded that the claimant’s employment was lawfully
terminated according to the express terms of the contract of the employment.
On the second issue; to wit whether
the claimant is entitled to any reliefs sought. It is submitted by counsel that
the claimant is not entitled to reliefs A and B because he has failed to prove
that his termination by the claimant was unfair, illegal and oppressive and/or
that the termination is based on unproven allegation. Furthermore, counsel
submitted that the claimant is not entitled to relief C and D because as at
December, 23rd, 2022, the claimant ceased to be the employee of the
defendant and that the claimant was fully paid up to the date of the
termination of his employment and there is no case of any salary arrears or
pension remittances being owed to the claimant, hence the lawful termination.
Counsel cited SKYE BANK PLC v ADEGUN 2024 15 NWLR pt 1960 p.1 @46 where the
court held that; An employee can only be
paid for the period he served his employer as he cannot claim for salaries not
earned.
Taking reliefs E,F,G or any other
relief of the claimant, it was submitted by the defendant’s counsel that the
claimant is not entitled to, because he has failed to prove all the allegations
that led to the claims.
On whether the defendant is entitled
to the claim in the third issue in respect of the grant of its counterclaim; it
is submitted to the court that the defendant is so entitled having same not
denied by the claimant/defendant to the counterclaim. Counsel referred to
paragraph 6 of the reply to the defendant’s statement of defence of 1/7/2024
which admitted paragraphs 6,7,8 and 9 of the defendant’s statement of defence.
Moreso, counsel submitted that the evidence in paragraphs 7,8,9 and 10 of the
defendant’s witness statement on oath which is the defendant’s evidence in
support the defendant’s counterclaim is uncontroverted. The case of ARABAMBI v ADVANCED BEVERAGES IND. LTD 2005
19 NWLR pt.959 p.1 “Evidence in a matter that is neither successfully
debunked, nor controverted at all for that matter, is good and credible
evidence that ought to be relied upon by a trial judge. Thus, the court can
properly accept and rely upon any evidence before it which is unchallenged and
uncontroverted, provided that it is relevant to the issues before it.”
In this case, counsel urged that the defendant’s counterclaim be granted.
CLAIMANT’S FINAL WRITTEN ADDRESS:
The final written address of the
claimant dated 24/3/2025 and filed on25/3/2025 was by leave of court sought and
obtained regularized on 13/10/2025. In reaction to the defendant’s written
address, counsel raised three issues for determination to wit:
a. Whether
in the circumstances of this case and the totality of the evidence adduced, the
termination of the claimant’s employment was unlawful, wrongful and violates
the claimant’s terms of employment with the defendant.
b. Whether
in the circumstances of this case, the totality of the evidence led and settled
principles of law, the claimant is entitled to his reliefs/claims before this
court.
c. Whether
the defendant is entitled to a grant of his counterclaims.
On the first issue above, counsel
argued that the termination of the claimant’s employment dated 23/12/2022 is
unlawful, wrongful and violates the terms of employment with the defendant as
the disciplinary committee report which is the basis did not prove the
allegation.
It is the submission of counsel while
referring to the cases of ARINZE v FIRST BANK (2000) 1 NWLR pt.639 p.78 in
which the Court of Appeal held that an employee facing disciplinary action must
be afforded an opportunity to refute allegations and present their case fairly;
and also in FAKUADE v O.A.U (1993) 5 NWLR pt.291 p.47, the Supreme Court held
that an employer who fails to comply with the disciplinary procedures agreed to
in an employment contract, acts unlawfully.
In this case, counsel maintained that
the claimant was not afforded a genuine opportunity to respond to the
disciplinary committee’s prejudicial findings, rendering the report unreliable.
Furthermore, that the defendant failed to comply with its disciplinary
procedures and arbitrarily terminated the claimant’s employment. Counsel
attributed lack of proper investigative diligence and biased reliance on a
manipulated disciplinary committee report that further demonstrates the
wrongful nature of the termination.
Counsel submitted that the defendant’s
failure to prove its allegations against the claimant, renders the claimant’s
termination wrongful and thus, urged the court to so hold.
On his second issue, counsel submitted
that where wrongful termination is established, the court may grant
reinstatement where the employment is the one with statutory flavour or damages
in respect of the instant case. Counsel cited EKEAGWU v NIGERIAN ARMY 2006 11
NWLR PT.991 P.382 in which the Supreme Court awarded damages for wrongful
termination and counsel urged the court to award same for the claimant herein.
With regards to the third issue raised
by counsel for the claimant, counsel submitted that the defendant is not
entitled to any damages as the claimant’s retention of the defendant’s property
enables him to access a document that could help pursue his redress for the
unlawful termination of his employment. Counsel argued that claimant is still
presumed to be under the employment of the defendant until ruled otherwise by
this court, hence the claimant can still hold on to the items as his status is
still yet to be determined.
It is submitted by counsel that the
defendant’s counterclaim for damage is a mere afterthought and lacks
evidentiary support. The case of OLAGUNJU v ADESOYE HOLDINGS LTD 1998 6 NWLR
PT.554 P.404 was cited where it was held that a counterclaim must be substantiated
with cogent and credible evidence. To this, counsel stated the
defendant/Counterclaimant has failed to prove that the claimant unlawfully
retained the company’s property. Counsel finally submitted that the
counterclaim is frivolous, vexatious and an attempt to divert the attention of
the court from the defendant’s wrongful conduct.
DECISION OF THE COURT:
I have carefully read through the
processes filed by the parties in this case, the evidence adduced alongside the
exhibits tendered in evidence and meticulously perused the final written
addresses of counsel, I am of the view that the issues that could best decide
this case are synonymical with the issues raised by counsel on both sides.
Accordingly, the following issues are simply raised by the court relatively in
line with the issues raised by the parties for the determination of this suit;
1. Can
the termination of the claimant’s employment by the defendant be said to be
unlawful and/or wrongful in view of the circumstances of this case?
2. Arising
from the facts and the circumstances of this case, can the claimant be entitled
to all the reliefs in this suit.
3. Has
the defendant /counterclaimant proved its case in the counterclaims?
It is the contention of the
claimant right from his statement of facts that until the unlawful termination
of his employment by the defendant he was an Assistant Manager. That he was
initially appointed via a letter dated 16/9/2011 as the purchasing officer of
the defendant and continued to work until his appointment was wrongly
terminated on 23/12/2022 for reasons alleged to have been for violating sections 4.1.4 and 4.1.3 of the Defendant’s
Code of Conduct, Disciplinary and Grievance Procedure. It is part of the
averments of the claimant that during a meeting aimed at facts findings about
the relationship of the claimant with a vendor to the defendant by name Todem
Lack Nigeria Limited the claimant was alleged to have raised 14 Purchase Orders
(POs) for a total sum of N11,091,000, however the claimant explained only
raising 6 POs which passed through due process in the schedule of duty within
the stated period for a total sum of N4,125,000. It is further contended by the
claimant that in the process a query was raised for him dated 28/10/2022 which
he responded to on 31/10/2022. The contention of the claimant is that there was
no process of vendors selection that was carried out in violation of the policy
in place of the defendant where at the stage at least two senior managers
should provide approval at the relevant stage before final approval by the Head
of Department. The claimant stated he was issued and served a termination
letter dated 23/12/2022 but without justifiable reason. These facts are accompanied
by the Witness statement on oath of the claimant sworn to on 6/3/2023 and
Exhibits CW1-CW10.
On the part of the defendant’s
averments and evidence before the court, it is contended by the defendant that
it became imperative to carry out further investigation upon the discovery of
the fact that the claimant did not follow the defendant’s laid down procedure
and policy for procurement with respect to the said Todem Lack Ltd and having
not followed the established policy which the claimant is aware that were
applicable to other vendors of the defendant, the claimant was issued a query
dated 28/10/2022 which he responded to dated 31/10/2022. The defendant was
unsatisfied with the response as a result, the setting up of the Disciplinary
Committee Panel that investigated the claimant against the backdrop of his
response to the query. The Disciplinary panel set up which the claimant
appeared before, and upon consideration of the claimant’s response, the panel
was said to have found the claimant culpable for breaching and violating the
defendant’s policy consequently, terminated the claimant’s employment.
These, being the factual basis of this
case, let me now proceed to analyze same in view of the three issues I have
formulated above and the law. What is
glaring is that there was a contract of employment between the claimant and
defendant by virtue of Exhibit CW1. I have read the content of this Exhibit
vis- a-vis the entire facts of this case. Exhibit CW1 being the letter of
appointment provides for the appointment of the claimant, remuneration among
other considerations and that after confirmation, either party shall be
required to give 30 days notice to terminate the contract or by payment in lieu
of notice and that the claimant will be entirely bound by the company’s rules
and regulations. It is to be noted that Exhibit CW1 binds the defendant
and claimant. Its effective date was
16/9/2011. Let me go into the relevant part of Exhibit CW1, particularly the
part that covers the termination of the employment of the claimant. It is
provided thus: “After confirmation, either party shall be required to
give 30 days’ notice to terminate this contract or payment in lieu of notice” The
claimant was confirmed employee of the defendant. It is plain
that the date of Exhibit CW2 is December, 23rd 2022 which was
written addressed and served on the claimant on the same day and stating
therein that the termination of the claimant’s employment was with effect from
the said date of 23/12/2022. From this, could it be said that the 30 days
notice been given to the claimant or afforded to him regarding his termination?
obviously, the answer is NO! Another aspect is, has the claimant been paid his entitlements
in lieu of the notice? Ineffect, I am unable to find that these are complied
with by the defendant and I will be right to state here that there is a breach
of the fundamental term of the contract between the defendant and the claimant.
I am of the view that the termination of the claimant’s employment could be
safely declared to be wrongful. Exhibit CW2 which is the termination letter and
Exhibit CW4 being the Query both made reference to Exhibit CW3. Exhibit CW3 is
the Code of Conduct, Disciplinary and Grievance Procedure. Exhibit DW2 is the
response to the Query written by the claimant which is followed by Exhibit DW3,
being the report of the Disciplinary Committee.
The above Exhibits are clear in their
contents. It is a settled principle of law in our labour jurisprudence that a
master can terminate the appointment of a servant for any reason or no reason
at all upon due notice or payment of salary in lieu of notice. This is stated
in the case of NIGERIA AIRWAYS LTD v AHMADU 1991, 6 NWLR, PT 198, P.492 @494
&495. However, where the employer gives any reason or cause for the
termination, the employer is bound to establish the reason to the satisfaction
of the court. In the instant case, the defendant alleges the claimant has
breached or failed to uphold standard of care as in Sections 4.1.3, 4.1.4 and
4.2.25 of the Code of Conduct, Disciplinary and Grievances Procedure of the
defendant. As I read through the evidence adduced before the court, I am not
convinced that the alleged breaches were established against the claimant
warranting the termination as such.The Supreme court in DANGOTE CEMENT, PLC v
PETER ASOM (2024-03) LEGALPEDIA 79808, SC, per M.L Garba JSC held “That
termination of employment of an employee by an employer may be declared
wrongful if done in breach or violation of any of the terms and conditions of
the employment agreed to by the parties in their contract of service, because
it constitutes a breach of such a contract”
As stated earlier,
there is no notice as required by exhibit CW1 that was given to the claimant in
the instant case. I also note that the
Employee Handbook of the defendant provides at its article 10.1 that “The
employment contract can be terminated at any time by either the employee or
employer through resignation, termination, dismissal, redundancy or retirement
situation irrespective of the reason for the termination, notice will be served
by the party terminating the employment contract unless….”
The employee
handbook is in evidence before the court tendered as part of Exhibit CW3. In
construing this exhibit and CW1, this court has a duty to determine whose right
has been breached under the contract. See Court of Appeal in UJAM v INSTITUTE
OF MGMT & TECHNOLOGY & ORS (2007) 2 NWLR PT 1019 as per Mika’ilu JCA @
P29 para A-F, while referring to the case of NIGERIAN GAS @ CO. v DURUSOLA
(2005) 18 NWLR pt 957 p.292 @321 as per Amaizu JCA, where he categorises
employer/employee relationship in Nigeria into three with different
consequences including contract of employment under common law, contract where
there is a written agreement between the employer and employee wherein the
court has a duty to determine the rights of the parties under the written agreement.
(as applicable in this instant case before this court) The Court of Appeal in COOPERATIVE &
COMMERCE BANK & ANOR v OKONKWO (2002) FWLR PT 97 P.637 CA also clarifies the position that whilst
unlawful termination is akin to statutory employment, wrongful termination is
akin to contractual employment. The law is that in an action for wrongful
termination, the plaintiff bears the burden to establish his claim.
It is apparent that the nature of the
contract of the parties in this case is one that is an ordinary contract of
employment which creates a master and servant relationship. In other words,
Employer/Employee relationship. It becomes determinable by notice and remedies
are broadly in damages as they do not give rise, strictly, speaking to the
remedies of specific performance or reinstatement. The remedy in damages, save
in exceptional cases, is normally limited to payment for contractual notice
period and other payments that may be considered due. The rationale behind
this, is given in the case of ALCATEL KABELMETAL v ATIVIE (2001) FWLR @662 CA
The claimant also claims for an order
withdrawing the wrongful termination letter served on him and payment of his
arrears of salaries, allowances and other entitlements, including general
damages for wrongful termination of his employment. However, the defendant
maintains that the employment was lawfully terminated as the facts of the
claimant’s employment speaks for itself through the contract of employment and
the code of conduct hand book which contains the terms entered into by the
parties.
I still looked into the two Exhibits
CW1 and CW3. To my mind, these are the foundational pillers upon which the
contract of the claimant is founded. The content of these exhibits regarding
the fact in issue are clear and comprehensible. I have equally perused other
exhibits admitted in evidence which relate to the termination, arising from
Exhibit CW4, (the query), CW5, CW7 & CW8c, (emails) which upon tendering in
evidence by the claimant at trial were challenged by the counsel for the
defendant but then deferred his argument to the address stage, unfortunately,
counsel did not state such reason anymore and so, these exhibits are properly
admitted on which weight could be attached thereto. Exhibit DW2 (response to
query) is good and adequate explanation to Exhibit DW1. Exhibit DW3 (the report
of Disciplinary Committee hearing) is contradictory to DW1 and DW2. It is an
elementary principle of our labour law that an employer has an unfettered right
to investigate and discipline its employee and the court cannot interfere with
such right as in NBC PLC v EKPO (2020) LPELR-1 @13-18, CA para B. However,
termination can be said to be wrongful when it was done in breach or violation
of, or in a manner not contemplated by the agreed terms and conditions set out
either in the contract of employment entered into by the parties or contrary to
the relevant statutory provisions (where applicable) governing the employment.
See GBEDU v LTIE (2020) 3 NWLR pt 1710 p.104 SC, and MOROHUNFOLA v KWARA STATE
COLLEGE OF TECHNOLOGY (1990)4 NWLR pt 145 p.506 @579.
I therefore, reading through exhibits
CW1 and CW3, find them to be very clear which both require no aid to interpret.
In the case of KEYSTONE BANK LTD v CLARKE (2020) LPELR-49732 CA, 24, para A,
the court per NIMPAR JCA, held that just like other contracts, contract of
employment’s creation and termination are subject to the general principle of
contract. As such where the terms of the contract are in writing, parties are
bound by the express terms of their contract. The duty of court in such
instance is to interpret the terms of contract of the parties and give effect
to it. See also OMEGA BANK NIG PLC v O.B.C LTD (2005)8 NWLR pt 928, p.547. The
court in interpreting the terms of the contract between the parties must give
the words their plain, ordinary and natural meaning where the words used are
clear and unambiguous.
Looking at the nature of the contract,
I have earlier said that the employment relationship is a master-servant one
where terms and conditions are written down which regulate the entire contract.
Having said so, and taking into account the circumstances and instance of the
termination, I will not have any difficulty to pronounce that the termination
of the claimant’s employment is wrongful. Issue one is resolved in favour of
the claimant.
In dealing with the second issue which
I raised hereinabove in this judgment the effect of which touches on all the
reliefs. The claimant’s first relief is for a declaration that the purported
termination of the claimant’s contract of service from the employment of the
defendant on the basis of violating the defendant’s code of conduct,
Disciplinary and Grievance Procedure Manual is unfair, illegal and oppressive.
While the second relief is that the purported termination of the claimant’s
contract by letter dated 23/12/2022 on the basis of unfounded and unproven
allegations is wrongful and violates the claimant’s terms of employment with
the defendant. It is crystal clear from the resolution of the first issue I
dealt with herein above in this judgment, reliefs A & B of the claimant are
both declaratory and are very well addressed and in this regard by this court.
It is a settled principle of law that declaration of right can be granted or
denied by the court, subject to certain conditions. What is discretionary is
not compulsory in judicial activism. It is left to the discretion of the court
to grant or deny the declaration sought. The claimant’s contention that in the
process of determining the allegation against him, an investigation and
disciplinary committee was set up by the defendant to whom he did
presentations, but still the resultant position was that his employment was
terminated. The defendant in this case has maintained that it followed all what
it required to arrive at the termination of the employment of the claimant and
that the termination was in accordance with the terms of the contract. I have
held earlier herein above, that the terms and conditions of the employment are
those found in Exhibits CW1 and CW3 to which Exhibit CW2 was based. Having
considered the issue above in all fours in favour of the claimant, he is
entitled to the said declaratory reliefs A and B respectively and as such, the
second issue I raised herein above in this decision is also determined in
favour of the claimant. I so hold.
The claimant also seeks for: an order
of withdrawal of the letter of termination of his employment, order directing
the defendant to pay the claimant all his entitlements arising from the
employment, order of compensation/general damages up to N200,000,000=00 (Two
Hundred Million Naira) only, order of 5% interest, until liquidation; and
N3,000,000=00 (Three Million Naira) only. The Court of Appeal in the case of
UNION BANK OF NIGERIA PLC v SOARES 2012 LPELR 8018 CA while distinguishing
between termination and dismissal held; There is a clear distinction between
termination of a contract of employment and dismissal. Termination gives the
parties the right to determine the contract at any time by giving the
prescribed period notice, dismissal is disciplinary which carries no benefit.
It is therefore obvious that where termination is without notice the employee
is entitled to his salary in lieu of such notice, while if the employee is
summarily dismissed, there is no requirement for such notice or salary in lieu.
In the past, employers can terminate an employee without reason or cause as is
provided under the common law. But now, the NICN has in recent times frowned
against such practice, following the need to adhere to international best
practices. The court construe termination without cause as unfair, especially
where the employee alleges a cause, the court will award damages against such
an employer.
It is the submission of the claimant’s
counsel while referring to the case of ARINZE v FIRST BANK OF NIG LTD 2000,1
NWLR, pt639 p.78 where the Court of Appeal held that an employee facing
disciplinary action must be afforded an opportunity to refute allegations and
present their case fairly. Counsel contended that the opportunity was not
afforded to the claimant to respond to the disciplinary committee. Counsel
argued that the claimant ought to have been given the opportunity at the
disciplinary proceedings and that the employer ought to have complied with the
Disciplinary procedures agreed upon. The defendant however, argued that it was
on the findings of the disciplinary committee that the claimant’s employment
was terminated.
In my effort to ascertain and resolve
these arguments, I went on to look into the panel findings and the
recommendation as well as the facts and evidence adduced by the claimant. The
evidence given are not cogent and credible. The panel findings and Recommendation
are uniformly unsatisfactory on the basis of which there arose the issuance of
Exhibit CW2 Having found so, I am of the view that the order sought for the
withdrawal of the letter of the termination of employment is needless in view
of my earlier stated reasons above.
Relief D which seeks an order directing the defendant to pay the
claimant his entitlements including salaries, allowances from December, 2022
till judgment is given in this suit is in particular not grantable, this is
because I consider this relief uncertain and the court cannot grant monetary
order that is vague since claimant has the duty to plead specifically
particulars of such claim and prove same by evidence. This claim is in the
specie of special damages. Evidence ought to be led before an award for special
damages is granted and to succeed in a claim for special damages, it must be
claimed specifically and proved strictly. See NNPC v CLIFCO NIG LTD (2011)
LPELR-2022 SC. This relief fails as well. As for Relief E, which is an order
directing the defendant to pay for the claimant N200,000,000 for the wrongful
termination. By the nature of this claim, it is obviously a claim for general
damages. General damages in law are meant to compensate the right that has been
breached. It includes all non-financial loss, past and future the estimation of
the quantum of damages is the prerogative of the court based on the available
evidence. In assessing the general damages, the court only needs to decipher
the incoveniences that the claimant had suffered from the nature of the case
and evidence. See SAVANNAH BANK OF NIG PLC v CBN (2009) 6 NWLR PT 1137 P.237
@309, and ALH. ISHIAKU YAKUBU v IMPREST BAKOLORI PLC & ORS (2011)6 NWLR, pt
1244 p.564 @583 CA. In the case of ELF PETROLEUM v UMAH & ORS (2018) LPELR-
43600 The Apex Court held that in award of general damages, the court has a
wide, enormous and far reaching power comparable to the exercise of discretion
of the court. The measure of general damages is awarded to assuage such a loss
which flows naturally from the defendant’s act. It needs not be specifically
pleaded. It suffices if it is averred. They are presumed to be the direct and
probable consequence of that complained of as it will serve the best interest
of justice toward damages. In consideration of this, I award in favour of the
claimant and against the defendant N2,000,000 (Two Million Naira) general
damages.
Regarding relief F being interest on
judgment sum at the rate of 5% until the total sum is liquidated, I ask, what
is the basis of this claim? The claimant ought to have shown the basis. Now
having not shown the basis of it, this relief also fails and refused. Finally,
in dealing with the claim for cost of N3,000,000=00, It is trite that a
successful party is entitled to cost which should not be denied except for good
reasons. See MAYA v OSHONTOKUN 2001, 11 NWLR PT723 P.62 @ 85 PARA F, CA and
also Order 55 Rules1-5 of the Rules of this court. Accordingly, I award cost
ofN200,000=00 in favour of the claimant.
On the last issue, which is the
entitlement of the defendant to its counterclaim. It is the contention of the
defendant/counterclaimant that the claimant/defendant to the counterclaim has
not disputed the counterclaim. Counsel pointed out paragraphs 6,7,8 and 9 as
well as 10 and 11 of the statement of defence/counterclaim are not disputed or
controverted and that these paragraphs are supported by the witness statement
on oath of the defendant/counterclaimant. Counsel urged this court to grant the
counterclaim against the claimant.
The claimant/defendant to the
counterclaim contended that the defendant’s counterclaim is a mere afterthought
and lacks evidentiary support and same having no cogent and credible evidence.
Counsel maintained that the defendant has failed to substantiate its claim that
the claimant holds on to the properties unlawfully.
Let me state that it is trite law that
a counterclaim is however, a distinct action. It is separate action and has a
life of its own as it survives even where the main action is struck out or
dismissed by the court. See DADA v WILLIAMS (2013) 2 NWLR pt.1338 p.260.
Furthermore, the Supreme Court in OROJO & ORS v ADENIYI & ORS (2017)
LPELR-41985 SC per RHODES VIVOUR, JSC
held thus:
“A
counterclaim does not depend on the outcome of the main claim. Once the main
claim is concluded in whatever form, be it dismissed or discountenanced, the
hearing of the counterclaim must commence. A counterclaim is an independent
action where the parties in the main action are in reverse roles where the
defendant becomes the plaintiff and vice-versa”.
I have perused the facts of the
counterclaim and the claimant’s response as well as the additional statement on
oath of the claimant. It is always the rule that it has to be specifically
proved. It is on record that during cross examination of CW1 by the defendant’s
counsel, the following was recorded.
Q=After receiving
the termination letter, Exhibit CW2, did you return the company’s properties in
your possession?
A= I did not
return them, because the evidence is in the company’s laptop that is with me.
Q= Since
December, 2022, the company’s laptop is still with you?
A= Yes
Q= Look at the
Email you tendered, what is your official email when you were working with the
defendant?
A= My official
email is bodunrin.akinsoroju@chiltd.com
The above facts elicited through cross
examination conducted by the counsel for the defendant on CW1 is in line with
paragraph 6 of the claimant’s reply to the defendant’s statement of defence
dated and filed on1/7/2024. The said paragraph 6 thereof reads: “The
claimant admits paragraphs 6,7,8,& 9 of the defendant’s statement of
defence and states these items are retained as they contain evidence pertinent
to this suit and same shall be returned once this suit is determined”
It is pertinent to read paragraphs
6,7,8 & 9 of the statement of defence filed on 26/5/2023 by the defendant,
but dated 25/5/2023. The said paragraphs constitute the defendant’s
counterclaim against the claimant/defendant to the counterclaim.
Reading through the aforesaid, I do
not have any difficulty pertaining the determination of the counterclaim, after
all, the claimant stood firm to admit. Consequently, the counterclaim against
the claimant succeeds on the strength of the claimant’s admission. It is
therefore the order of this court that the claimant shall return to the
defendant/counterclaimant the items listed in paragraphs 8 or their market
price value stated in paragraph 9 of the defendant’s counterclaim dated
25/5/2023 but filed on 26/5/2023.
Judgment is accordingly entered.
……………………………………………………………….
HON. JUSTCE S. A.
YELWA
(JUDGE)
LEGAL REPRESENTATION
Esomchi
Esheya Esq for the Claimant.
O.R.
Pepple Esq for the Defendant