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Abuja --His Lordship, Hon. Justice Sanusi Kado of the National Industrial Court of Nigeria, Abuja Judicial Division on Thursday 11th October 2018 in a ruling dismissed preliminary objection raised by Ahmadu Bello University Hotels Ltd (defendant/applicant ) challenging the jurisdiction of the court in a suit filed Mrs Mary Omolola Olorum (Claimant/respondent) for lacking merit, frivolous and vexation. The court awarded the sum of N50,000.00 against the Defendant in favour of the Claimant.
From the statement of facts, the claimant in this suit was employed by the Arewa Hotels Development Ltd and posted to the defendant and the claimant served the defendant from December 17, 1980 to March 15, 2014, when the claimant/applicant voluntarily retired from the employment of the defendant, following which the defendant computed the claimant’s gratuity which stood at N3, 157, 240.00 (Three Million, One Hundred and Fifty-Seven Thousand, Two Hundred and Forty-Six Naira) only. After the claimant/applicant’s retirement from the service of the defendant, the claimant realized that the defendant defaulted in remitting the claimant’s pension contribution for over 20 months.
In the preliminary objection dated 12/3/18, the Defendant/Applicant seeking for an order of this Honourable Court striking the entire suit for lack of jurisdiction on the grounds that Arewa Hotel (Developments) Limited is a private company registered under the laws of the Federation as a limited liability, that Kongo Conference Hotel Limited is also a private Company registered under the laws of the federation as a limited liability which transformed and changed its name to Ahmadu Bello University Hotels Limited and that the present claim lacks proper parties with the appropriate legal nexus.
A single issue was formulated as the issue calling for resolution Whether as presently constituted, the Claimant has a cause of action against the Defendant. Counsel submitted that since the Defendant was wrongly joined, this Honourable Court lacks jurisdiction to entertain this matter as the claimant cannot sustain any cause of action against the Defendant.
In Opposition to the notice of preliminary objection, Counsel contended that Arewa Hotels Development Company Ltd is the agent of a disclosed principal i.e Ahmadu Bello University Hotels Ltd (formerly Kongo Conference Hotel Limited).
It is also submitted that since the claimant’s employment with the defendant all other correspondences relating to her welfare, remuneration and gratuity has been in the name of Kongo Conference Hotels Ltd (now Ahmadu Bello University Hotels Ltd).
Counsel urged the Court to take judicial notice of letter written in response to the claimant’s application for voluntary retirement; computation of the claimant’s gratuity by the defendant as well as an acknowledgement for unremitted pension contribution.
In the same vein, for the span of 34 years since the claimant’s employment, the defendant had always held out Arewa Hotels Limited to be its duly appointed agent.
It is the contention of Counsel that the Defendant is a necessary party without whom this case cannot be fairly determined.
After painstakingly and carefully read and understood all the processes filed by learned Counsel on either side, the presiding Judge Hon. Justice Sanusi Kado expressed thus;
“From the facts so far disclosed in this suit. It is clear that the claimant served the defendant from 1980 to March 2014. This means that the claimant can lawfully claim retirement benefit from the defendant for the 34 years’ service rendered by the claimant to the defendant. I, therefore, have no hesitation in coming to the conclusion that the defendant is a necessary party in this suit.
“In view of the state of the law, I have no choice than to hold that the defendant in this suit being principal of Arewa Development Hotel Ltd, is a necessary party in respect of acts or omission of Arewa Development Hotel Ltd.
“The change of name of the defendant from Kongo Conference Hotel Limited to Ahmadu Bello University Hotel does not change the position of the defendant when it comes to the issue of liability or responsibility.
“At the end, the defendant’s notice of preliminary objection fails, as it is lacking in merit, it is frivolous and vexation I have no difficulty in dismissing it.
“I hereby award N50,000.00 against the Defendant in favour of the Claimant.” His Lordship Ruled.
