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[Just In] Employment Termination: Industrial Court Dismisses Suit Against Shell Petroleum Development Company For Being Statute Barred

  • 1487 Thursday 17th January 2019

 

Portharcourt – His Lordship, Hon. Justice F. I. Kola-Olalere of the National Industrial Court of Nigeria, sitting in Portharcourt, Rivers State, today  Thursday 17th January 2019 in a ruling, dismissed suit filed by Joseph C. Adinma (Claimant) against Shell Petroleum Development Company of Nigeria Limited for being statute barred in line with the limitation law of Rivers State. The court stated that the matter was filed almost 11years after the accrual of the claimant’s causes of action, instead of filing same within five years as stipulated by Law.

 

On May 10, 2018, the claimant sought against the defendant among others; A Declaration that the purported attempt to terminate the employment of the claimant by the defendant in the letter dated 26/6/2007 and titled “Release from Company Service” is a breach of the Terms and Conditions of Employment dated February 2007 entered into between the parties. A Declaration that the defendant’s attempt to terminate the claimant’s Contract of Employment  by suspension, indefinite suspension, preparation and production of Letter of Release and refusal to mitigate damages contained in the defendant’s letters dated 27/3/2007, 6/4/2007, 26/6/2007 and 23/2/2015, for no justifiable/valid reason relating to the claimant’s work is a violation of International Labour Organization’s Article 4 of Termination of Employment Convention C158, 1982 and International labour best practices.

 

Likewise, The sum of N555,500,452.88 (Five and Hundred and Fifty Five Million, Five Hundred Thousand and Four Hundred and Fifty-Two Naira, Eighty-Eight Kobo) unpaid being claimant’s total salary from July 2007 to December 2017 at 25% annual rate of salary increment.

 

Counsel to the defendant filed a notice of Preliminary Objection sought for An Order striking out this suit for being incompetent, as it is statute barred and the Honourable Court lacks the jurisdiction to entertain same on the grounds that by the Limitation Law of Rivers State, no action founded on contract, shall be brought after the expiration of five years from the date on which the cause of action accrued. This suit was filed over 10 years from the date of the cause of action.

 

Counsel submitted that from the Statement of Facts, the cause of action of the arose in 2007 when he was allegedly suspended on April 16, 2007 and subsequently released from the company employment by the letter of June 26, 2007. Counsel submitted that the case of the claimant is; therefore, statute barred.

 

In opposition, counsel to the claimant submitted that sequel to the letters written by the Defendant/Applicant purporting to terminate the Claimant employment dated 27/3/2007, 16/4/2007 and 26/6/2007; the Claimant quickly filed a Suit at the High Court of Rivers State in 2007, challenging the unlawful termination of his employment.

 

After about seven years that the suit was pending before the State High Court, it was transferred to this Court. He went on that, this Court eventually struck out the matter on 2017 because the originating processes were improperly signed. Thereafter, the Claimant/Respondent filed the present suit on the 10/5/2018, urged the court to dismiss the preliminary objection.

 

After careful analysis of all the processes filed, and the submissions of the learned Counsel from both sides. The Court presided by Hon. Justice F. I. Kola-Olalere expressed thus;

 

"It is trite that Jurisdiction of a Court is very fundamental; and so, when an issue of jurisdiction is raised, it should be determined expeditiously.

 

“An application to re-list a cause struck out or to set aside a judgment under this rule shall be made within fourteen (14) days after the order or judgment or such other extended period as the Court may allow.

 

“Instead of applying for its re-list, the claimant’s counsel elected to file a new case in 2018; which is the instant case and which is completely different from the one that was struck out and with a different suit number.

 

“In the circumstance, I find and hold that the case with Suit No: PHC/1008/2007 that later was regularized and given Suit No: NICN/PHC/74/2014 and then struck out on December 12, 2017 is dead and buried; neither was it revived in line with the provision of Order 38 Rule 6(1) of NICN (CP) Rules, 2017.

 

The provision of Section 16 of the Limitation Law of Rivers State is to the effect that no action founded on contract etc. shall be brought to Court after the expiration of five years from the date on which the cause of action accrued.

 

“Consequently, I hold that this case is statute barred and the Court has no jurisdiction to adjudicate on it. Therefore, I further hold that this application has merit and it is accordingly sustained. This matter is accordingly dismissed for being statute barred.

 

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