
IN THE NATIONAL INDUSTRIAL COURT OF
NIGERIA
IN THE PORT HARCOURT JUDICIAL DIVISION
HOLDEN AT PORT HARCOURT
BEFORE HIS LORDSHIP: HONOURABLE
JUSTICE Z. M. BASHIR PhD
Dated: 28th day of January, 2026 SUIT
NO: NICN/PHC/109/2022
BETWEEN
MRS.
VICTORIA OBIOHA ------------------------------- CLAIMANT
AND
OHENMERGE
COMPANY LTD -----------------------------DEFENDANT
Representations
O. S. Mkpuma for the Claimant
H. N. Akano for the Defendant
Judgement
This
suit was commenced by way of a General Form of Complaint filed on the 4th of
August, 2022 along with an affidavit of verification, a Statement of Facts,
list of witnesses, witness statements on oath, list of documents and copies of
the documents to be relied upon at trial.
Arising
from the Complaint and Statement of Facts, the Claimant claims against the
Defendant as follows:
a.
A
DECLARATION that the termination of the Claimant’s employment by the Defendant
without reason or notice is irregular and unlawful.
b.
A
DECLARATION that the refusal of the Defendant to allow the Claimant proceed on
21 days’ paid annual leave for four (4) years is unlawful and contrary to the
terms of employment.
c.
A
DECLARATION that the Defendant’s refusal to show proof of payment of any
pension scheme to the Claimant as stated in her contract of employment is
illegal, unlawful and contrary to the terms of employment.
d.
A
DECLARATION that the Defendant’s refusal to show proof or issue receipt of tax
deductions from the Claimant’s salary for four (4) years is illegal and
unlawful.
e.
A
DECLARATION that the Defendant’s refusal to enroll the Claimant for
life-insurance cover and other related insurance as stated in her letter of
employment is unlawful and contrary to the terms of employment.
f.
The
sum of ?50,000,000.00
(Fifty Million Naira) as damages for breach of the terms of employment
contained in the employment letter dated 27th December, 2017.
g.
Full
monthly salary/allowances from March 2022 until the determination of this suit.
h.
The
sum of ?30,000,000.00
(Thirty Million Naira) as severance benefit.
i.
The
sum of ?20,000,000.00
(Twenty Million Naira) as damages for emotional, physical and psychological
trauma and health challenges allegedly suffered as a result of unlawful
termination without notice.
j.
The
sum of ?20,000,000.00
(Twenty Million Naira) as exemplary damages for breach of the terms of her
employment.
In
response, the Defendant on the 19th of August, 2022 filed a Memorandum of
Conditional Appearance accompanied by a Statement of Defence, list of
witnesses, witness statements on oath, list of documents and copies of same.
The
Claimant filed a Reply to the Statement of Defence on the 26th of October,
2022.
Trial
commenced on the 8th of June, 2023 with the Claimant testifying as CW1. She
adopted her witness statements on oath, adopted and marked as C1(a) and C1(b).
Through CW1, eight documents were tendered and admitted in evidence as Exhibits
C2–C9.
Arising
from the pleadings and evidence, the Claimant’s case is that she was employed
by the Defendant via a letter of employment dated 27th December 2017. She
averred that she diligently discharged her duties and made personal sacrifices
without receiving the corresponding recognition or remuneration. She further
stated that on 13th April 2022, she received an email from the Defendant
titled:
“Reviewing your contract
condition”
Informing
her that her contract would be reviewed effective 1st May 2022 due to financial
challenges in the company. This allegedly led to exchanges culminating in
termination of her employment.
She
contends that the termination was malicious, unfair and contrary to law and her
employment agreement.
Under
cross-examination, CW1 stated that:
·
she
was issued a letter of employment
·
she
was not queried
·
she
was paid for work done, except March and April 2022
·
salary
payments were irregular
·
she
insists she was entitled to be paid all benefits before any renegotiation of
contract terms
She
denied knowledge of the Defendant suffering losses or going into liquidation
and denied responsibility for any mismanagement.
She
confirmed she is claiming:
·
salary
for March and April 2022, and
·
?50
million damages
The
Defendant opened its case by presenting Henry Okwara, who testified as DW1 and
adopted his witness statement on oath marked as D1. Nineteen documents were
tendered and admitted as Exhibits D2–D20.
The
Defendant’s case is that the Claimant was employed from January 2018 until
April 2022, when she was dismissed for gross misconduct and incompetence. The
Defendant alleged:
·
invoice
errors
·
habitual
lateness and absenteeism
·
disregard
of directives
·
blackmail
threats
·
refusal
to hand over company property
It
was further stated that although the Claimant was eligible for confirmation
after one year, her appointment was never confirmed due to incompetence.
Therefore, according to the Defendant, she was not entitled to annual leave
benefits.
Upon cross
examination, DWI posited that although the Defendant employed the Claimant
after interview, the company made a very big mistake in her employment because
she was introduced by a senior friend as they overlooked all the standard
criteria. DW1 admitted that the last salary paid to the Claimant was in
February 2022 while admitting that the letter of employment binds both parties
and the job description of the Claimant does not include contract negotiation
and execution but one of her duties is to review contract that comes to the
Defendant and the shortfall were due to the Claimant. DWI also stated that the
sum taxed on Claimant's salary is in evidence while her pension contribution
has been paid to her pension manager. DWI added that leave is based on
condition stated in the Condition of Service and that the Claimant is not a
confirmed staff. He concluded that staff dismissed do not get terminal benefit.
After
the Defendant closed its case, parties adopted their final written addresses.
The Defendant’s Final Written Address was filed on 14th October, 2025, wherein
learned counsel H. N. Akano, Esq. formulated the following issues for
determination:
i.
Whether the Claimant has
proved her case on the balance of probabilities to be entitled to the reliefs
claimed.
ii.
Whether the Defendant
was justified in dismissing the Claimant for incompetence and gross violation
of company policy.
In arguing issue one, counsel posited that the Claimant was
handed Exhibits D1, D2 and D3 when she was employed by the Defendant and
dismissed vide a 60 days’ notice for incompetence and the Defendant had
led evidence to show that the dismissal of the Claimant was lawful. Counsel
contended that assuming, without conceding that the claimant worked in the
defendant company without terms and conditions of
service, on what terms and conditions is she claiming her reliefs
F, H, I, and J in her Claim. Counsel added that you cannot put
something on nothing and expect it to stand.
Counsel argued that in an action for breach of
contract of employment, all the court can do is enquire into the procedure by
means of which the employee was dismissed, whether prescribed procedure if
any was followed, and whether the employee has been paid his statutory or
common law entitlements such as appropriate month's salary in lieu of
notice. Counsel cited the case of Oyedele v Ife UTH (1990)
6NWLR (pt. 155) 194.
Counsel also submitted that in a master and servant
relationship, an employee's appointment can lawfully be terminated without
first telling him what is alleged against him and hearing his defence or
explanation. Counsel added that an employee in such a relationship
can lawfully be dismissed without observing the principles of natural
justice and cited the case of SB Olanrewaju v Afribank Plc
(200) FWLR (pt. 72) 2008.
Counsel argued that assuming without conceding that
her employment was terminated without Notice, the option open to her is to
seek for the payment of her one or two month's salary in lieu of
notice and nothing more while adding that the Defendant duly complied with
giving notice to the Claimant.
In arguing issue two, counsel referred to the testimony of
DW1 and cited the case of Skye Bank Plc v Adegun (2018)
LPELR-44702(SC) to contend that an employer can terminate an employee
with or without reason for gross misconduct, serious breaches of contract,
and illegality.
Counsel contended that trouble started between the
claimant and the defendant when the defendant informed the claimant that
her contract condition will be reviewed from the 1st day
of May, 2022 due to the fact that the defendant was experiencing
financial issues. Counsel referred to Exhibit C3 and C4 and
paragraph 7 of the statement of fact and also paragraph 7 of the
claimant's statement on oath and paragraphs 8,9,10, and 11 of
the statement of facts and paragraph 8,9,10, and 11 of the claimant's
statement on oath.
Counsel submitted that from the evidence before the
Honourable court, it is very clear that the employment of the claimant
with the defendant was not wrongfully terminated by the defendant and
assuming without conceding that the claimant's employment was wrongfully
terminated, the remedy available to the claimant is the amount of money
that is payable during the period of notice to be given by the employer as
stipulated in the contract of employment and nothing more. Counsel
cited the case of Onalaja v African Petroleum Ltd (1991) 7NWLR (pt
206) 691 Ratio 1.
Counsel concluded by urging the court to dismiss the
Claimant’s suit and award cost to the Defendant.
In response to the Defendant’s address, the Claimant filed
her final written address on the 30th of October, 2025 and
arising therefrom, counsel to the Claimant, O.S. Mkpuma Esq. formulated two
issues for determination to wit:
i.
WHETHER OR NOT THE
DEFENDANT HAS BREACHED EXHIBIT C2 AND LIABLE TO PAY TO THE CLAIMANT 21DAYS
PAID ANNUAL LEAVE PER YEAR FOR FOUR (4) YEAS AND SALARIES FOR THE
MONTH OF MARCH AND APRIL 2022 RESPECTIVELY.
ii.
WHETHER OR NOT THE
CLAIMANT IS ENTITLED TO RELIEFS F, 4, I AND J (sic).
In arguing issue one, counsel posited that the
relationship between the claimant and defendant was not governed by
statute but primarily governed by Exhibit C2 which is the letter of
Appointment issued to the Claimant by the defendant which by law
means that the relationship is that
of master-servant relationship whereby the employer can
terminate for any reason or no reason at all.
Counsel argued that the Defendant was not faithful to
Exhibit C2 and the defendant's refusal and failure to comply with the
Exhibit C2 in line with relief B and G amount to total breach of
contract/relationship between the claimant and the defendant. Counsel
added that the defendant in its defence has failed to show the court the
reason for not paying the claimant the reliefs B andG, as contained in
Exhibit C2.
Counsel argued that the Defendant did not present anything
to show that the Claimant waived her annual leave for the four years while
admitting that she worked for four years while also not denying that the
Claimant worked in the month of March and April.
In arguing issue two, counsel submitted that it is
trite in law that damages are such as the law presumes to be
the direct and proximate consequences of the act complained
of, assessed by the opinion of a reasonable man. Counsel
cited the cases of Mobil Oil Nigeria Plc V. Barbedos Cars Ltd (2016)
LPELR - 41603(CA) and Daniel Chinoha Bernard & Anor V. FCMB
Ltd (2022) LPELR- 58194 (CA).
Counsel also argued that it is a fundamental and
well-settled principle that the terms and conditions of employment are the
bedrock upon which any claim predicated there upon must rest and where an
employee complains wrongful termination, he must: (i) Place before the
court the terms of the contract; (i) Prove the manner in which the terms
were breached by the employer. Counsel cited the
cases of U.T.C Nigeria Ltd. V. Peters (2009) LPELR
- 8426(CA) and Organ & Ors V. Nigeria Liquefied Natural Gas
Ltd. & Anor (2013) LPELR.
Counsel added that in the instant case, there is
certainty of contract for which the Defendant was in breach without any
reason as contained in Exhibit C2 by refusing to pay the claimant the
monies she had worked for before the termination of her employment and
this action of the defendant has cause a lot of pains,
frustration, hardship and even the cost of litigating over the monies she
had worked for.
Counsel concluded by urging the court to exercise its
discretion by making award for the damages in favour of the claimant
against the defendant.
In
view of all the foregoing, I have carefully evaluated and understood all the
processes filed by the parties in this suit. I have reviewed the testimonies of
the witnesses called by both parties, observed their demeanour, and assessed
all the exhibits tendered and admitted. I have also taken into account the
submissions of learned counsel for both parties in their respective final
written addresses.
Arising
from the totality of the issues raised and argued, the sole issue for
determination in this suit is:
Whether the Claimant is entitled to the reliefs sought in
view of the facts and circumstances of this case and the evidence before the
Court.
In
resolving this issue, I must state from the outset that five of the reliefs
sought by the Claimant are declaratory in nature. The burden of proof in such
claims lies squarely on the Claimant. The remaining reliefs are consequential
and dependent on the success of the declaratory reliefs.
On
the nature of declaratory reliefs, the Court of Appeal in Friday & Ors v.
Governor of Ondo State & Anor (2012) LPELR-7886 (CA) stated:
“Black’s Law Dictionary
(9th ed.) defines declaratory relief as a unilateral request to a court to
determine the legal status or ownership of a thing. A declaratory judgment
merely declares the rights of the parties. However, in seeking a declaratory
relief, a claimant may go further in the same action to seek consequential
orders, which become enforceable upon the declaration being made in his
favour.”
— Per Kekere-Ekun,
J.C.A. (as she then was) (P.40, paras. A–C)
Similarly,
in Ikuma v. Civil Service Commission, Benue State & Ors (2012) LPELR-8621
(CA) the Court held:
“Declaratory reliefs are
not granted as a matter of course but on credible evidence led. This is so even
where the other party admits the claims.”
— Per Tsamiya, J.C.A.
(P.22, para. A)
The
principle was further reinforced in Sijuade v. Oyewole (2011) LPELR-4869 (CA)
where the Court held:
“In an action seeking
declaratory relief, an admission by the defendant does not automatically
entitle the claimant to judgment. The claimant must succeed on the strength of
his own evidence.”
— Per Adumein, J.C.A.
(P.32, paras. B–E)
The
next question that naturally arises from the foregoing authorities is:
“What specific legal rights does the Claimant seek to have
declared as arising from the instant suit, and has the Claimant satisfactorily
established the existence of such rights in view of the facts, circumstances
and evidence placed before this court”.
In answering this
question, it is evident from the declaratory reliefs sought that the Claimant
prays the court to declare among others the termination of her employment
without reason or notice is wrongful, that the Defendant’s refusal to allow her
to proceed on annual leave for a period of 4 years is unlawful and that the
Defendant’s failure to provide proof of remittances in respect of pension
contribution, tax deduction and life insurance cover is equally unlawful.
With
regards to discharge of the burden of proof, the law is also settled in terms
of what the Claimant should present before the court to be entitled to
declarations when the issue is related to termination of employment. In this
regard, the court in U.T.C. NIGERIA LTD. V. PETERS (2009) LPELR-8426(CA) held
that:
"It
is a fundamental and well settled principle, that the terms and conditions of
employment is the bedrock on which any claim predicated thereupon ought to
squarely rest. Thus, where an employee as in the instant case, complains of a
wrongful termination of his employment, he has the onus:
(i)
To place before the trial court the terms of the contract of employment;
(ii)
To prove the manner in which the said terms were breached by the employer
thereof. See JOMBO V. PEFM (2005).14 NWLR (part 945) 443; AKINFE V. UBA PLC
(2007) 10 NWLR (Part 1041) 185 at 196 paragraph H; 199-200 paragraph G-C."
Per SAULAWA, J.C.A (P. 41, paras. A-D)
In
an attempt to establish her case, the Claimant tendered her letter of
employment as Exhibit C2 and email correspondence as Exhibits C3–C5. Her case
is that on 13th April 2022, she received an email notifying her that her
contract conditions would be reviewed effective May 2022. She further contends
that while she demanded payment of her March and April 2022 salaries, the
Defendant instead issued a letter titled “Re: Dismissal from Duty” on 4th May
2022, terminating her employment without notice. She also claims unpaid leave
allowance for four years.
The
Defendant’s position is that the Claimant was incompetent and repeatedly absent
from duty. It asserts that the Claimant was served with a 60-day notice of
dismissal dated 18th February 2022 and was informed she would be paid her
entitlements upon handing over company property in her possession. The
Defendant contends that the Claimant was never confirmed as a permanent staff
due to incompetence, and therefore not entitled to leave benefits.
The
Defendant tendered, amongst others:
·
Claimant’s
Appointment Letter and Induction Certificate – Exhibit D2
·
Non-Disclosure
Agreement — Exhibit D3
·
Condition
of Service — Exhibit D4
·
Email
correspondence — Exhibits D8–D10
·
Pension
schedule — Exhibit D15
·
Group
Life Policy — Exhibit D17
·
Notice
of Dismissal dated 18th February 2022 — Exhibit D20
Upon
evaluation, it is clear from Exhibit D20 that the Claimant was indeed issued a
notice of dismissal dated 18th February 2022. The document expressly states
that she was given 60 days’ notice of the company’s intention to dismiss her,
citing incompetence, persistent absenteeism, and financial loss to the company
arising from negligence.
The
Claimant contended in her Reply to the Defendant’s Statement of Defence that
she was never served with the said notice of dismissal. That assertion is,
however, not credible in view of the fact that Exhibit D20 is accompanied by an
email correspondence dated 18th February 2022 at 11:05 a.m., bearing the
subject:
“Notice
of Dismissal from Duty,” sent from ceo@ohenmergegroup.com to
victoria.ohioha@ohenmergegroup.com. The Claimant merely asserted non-service of
the notice; she did not challenge the authenticity of the accompanying email
particulars.
The
body of the email reads:
“Dear Victoria,
Kindly find attached a copy of the notice of dismissal from
duty. Do read very well and acknowledge receipt of this mail.”
What is instructive from the above is
that the Claimant was informed that she had 60 days’ notice, and she was also
informed of the reason for her dismissal. When the pieces of evidence are
aligned, the Defendant’s narrative becomes plausible, particularly because the
Claimant herself admitted that on 4th May 2022 she received an email titled
“Re: Dismissal from Duty.” The prefix “Re:” denotes reference to an earlier
communication. It therefore strongly supports the inference that the Claimant
had earlier received Exhibit D20, notwithstanding her denial.
In addition, the WhatsApp messages
tendered as Exhibits D6 and D7, dated 24th September 2021, pre-date the
dismissal notice and show complaints of lateness and absenteeism — forming the
background to the dismissal communicated in February 2022.
I
must also add that Exhibit C2, the Claimant’s letter of employment, contains no
clause mandating notice prior to termination. While the term used by the
Defendant is “dismissal,” Exhibit D4 — the Defendant’s Conditions of Service —
provides under Clause 7.1 that employees at Manager grade and above are
entitled to two months’ notice, and separately defines dismissal as a sanction
normally occurring after gross misconduct has been established. Although the
Claimant argued that she was never given the Conditions of Service, the 60-day
notice contained in Exhibit D20 is in fact consistent with it.
I
am not unmindful of the confusion arising from the interchangeable use of
“termination” and “dismissal.” The Claimant pleaded “termination,” whereas the
Defendant used “dismissal.” Most importantly, however, the Claimant was
afforded notice, whereas dismissal ordinarily takes immediate effect. If the
Claimant’s real complaint were a lack of fair hearing prior to dismissal, such
complaint was not pleaded.
Relief
One clearly seeks a declaration that she was not given notice and was not
informed of the reason for termination. Exhibits D20 and D8 conclusively prove
otherwise.
In
all and as reiterated by the court of Appeal in National Union of Civil
Engineering Construction Furniture & Wood Workers v. United Bank for Africa
Plc & Ors (2010) LPELR-4584 (CA), the Court held that a Court is not
permitted to reformulate a case or reliefs for a party. Guided by that
principle. The claimant bears the burden of establishing by credible evidence,
the factual foundation upon which the declaration sought in Relief one maybe
granted.
In
the present case, the evidence before the court does not support the Claimant’s
assertion that she was neither given notice nor informed of the reasons for the
termination of her employment. There is nothing before the court to
substantiate the allegation of lack of notice or absence of justification.
A
declaratory reliefs cannot be granted on mere speculation but upon clear,
cogent and convincing proof. The Claimant having not discharged this burden,
there is no legal or factual basis upon which the court can make the
declaration sought.
Accordingly,
Relief One fails and is hereby refused.
Relief
Two seeks for a declaration that the Defendant’s refusal to allow the Claimant
proceed on twenty-one (21) days’ paid annual leave for a period of four (4)
years is unlawful and contrary to the terms of her employment.
The
evidence relied upon by the Claimant in support of this relief is Exhibit C2 —
her letter of employment — which expressly provides that she shall be entitled
to twenty-one (21) working days’ paid annual leave.
While
the Claimant alleges that the Defendant refused to allow her proceed on leave
during the four-year period in question, there is nothing in her witness
deposition on oath specifying the particular occasions on which she applied for
leave and was refused. It is only in her further deposition that she asserts
that she applied “several times” and that the Defendant kept postponing same.
She also stated an intention to rely on emails dated 15th and 16th September
2021; however, no such emails were tendered in evidence before this Court to
demonstrate either an application for leave or a refusal thereof by the
Defendant.
It
bears reiterating that declaratory reliefs are not granted on mere assertions,
neither do they rest upon the weakness of the Defendant’s case or even upon
admissions. They must be established by credible, cogent, and convincing
evidence emanating from the party seeking same.
I
am not unmindful of the Defendant’s contention that the Claimant was not
entitled to annual leave because she was allegedly unconfirmed. This contention
is unsustainable, as Exhibit C2 contains no stipulation that the Claimant was
on probation or that entitlement to leave was contingent upon confirmation of
employment. Nevertheless, the declaration sought in Relief Two is not that the
Defendant failed to pay leave allowance; rather, the Claimant seeks a
declaration that she applied to proceed on leave and the Defendant refused to
permit her to do so.
Within
the strict scope of that declaratory claim, there is no scintilla of evidence
before this Court demonstrating that the Claimant ever applied for annual leave
in any given year and that such application was refused by the Defendant.
In
the absence of such evidence, the Claimant has failed to discharge the burden
required for the grant of a declaratory relief. Accordingly, Relief Two lacks
merit and is hereby refused.
Reliefs
Three, Four and Five seek “declarations that the Defendant acted unlawfully in
failing to provide proof of payment of pension contributions, tax remittances
and life-insurance coverage in favour of the Claimant. For clarity, the reliefs
state as follows:
3.
A DECLARATION that the
Defendant’s refusal to show proof of payment of any pension scheme to the
Claimant as stated in her contract of employment is illegal, unlawful and
contrary to the terms of employment.
4.
A DECLARATION that the
Defendant’s refusal to show proof or issue receipt of tax deductions from the
Claimant’s salary for four (4) years is illegal and unlawful.
5.
A DECLARATION that the
Defendant’s refusal to enroll the Claimant in a life-insurance scheme, and
other related insurance cover as provided in her letter of employment, is
unlawful and contrary to the terms of employment.
It
is pertinent to state that these reliefs are declaratory in nature, and
therefore the Claimant bears the burden of establishing, by credible and
positive evidence, the factual foundation upon which the declarations may rest.
I
observe, however, that in the Claimant’s primary Statement of Facts, she did
not plead any fact showing that at any time during the subsistence of her
employment she requested proof of pension remittances, tax deductions or
insurance enrolment, nor that such requests were refused. There is similarly no
pleading that such deductions were not made, nor any allegation that she
suffered prejudice as a result. Ordinarily, the failure to plead such
foundational facts is sufficient for the Court to decline consideration of
these claims.
Nevertheless,
since the Defendant joined issues on these matters in its pleadings and
proceeded to place evidence before the Court, I shall evaluate same.
The
Defendant averred that it complied with statutory obligations by:
·
remitting
pension contributions into the Claimant’s Retirement Savings Account (RSA);
·
deducting
and remitting PAYE tax on her behalf; and
·
enrolling
her in statutory group life and social insurance schemes.
In
support, the Defendant tendered the following:
1.
Exhibit
D15 — pension remittance schedule and cheque details confirming payment to ARM
Pension Managers Plc, showing the Claimant’s RSA Number PEN200423597733.
2.
Exhibit
D19 — PAYE remittance schedule submitted to the Rivers State Government,
wherein the Claimant is expressly listed.
3.
Exhibits
D17 and D18 — comprising:
·
the
Group Life Insurance Policy issued by Royal Exchange Prudential Life, naming
the Claimant among insured employees; and
·
correspondence
to the NSITF dated 26th March 2018, forwarding the Claimant’s details for
statutory employee compensation coverage, together with contribution schedules.
These
documents speak for themselves and establish, prima facie, that the Defendant
indeed complied with the statutory and contractual duty to:
·
deduct
and remit pension contributions;
·
deduct
and remit PAYE tax; and
·
enroll
the Claimant for insurance cover.
On
the other hand, the Claimant neither pleaded nor proved:
·
that
the Defendant failed to make such remittances; or
·
that
any lawful request for proof was made and refused; or
·
that
she suffered loss or detriment arising therefrom.
It
must be emphasized that this Court cannot grant declaratory reliefs in
abstract, or based on speculation, or merely because an employer failed to
volunteer proof unsolicited. Reliefs Three, Four and Five presuppose a wrongful
refusal to provide proof, yet no factual foundation was laid to show refusal,
whereas the Defendant has positively established that the statutory obligations
were duly complied with.
Accordingly,
the Court finds that the Defendant has discharged the evidential burden placed
upon it, while the Claimant has failed to establish any breach of duty.
In
the circumstances, Reliefs Three, Four and Five are completely devoid of merit
and are hereby refused.
Relief
Six seeks “The sum of ?50,000,000.00 (Fifty Million Naira) as damages for breach
of the terms of employment contained in the employment letter dated 27th
December 2017.”
It
is clear from the pleadings that this relief is predicated on alleged breach of
contract, namely the breach of the Claimant’s letter of employment — Exhibit
C2. Although the Claimant did not expressly identify the specific clause
alleged to have been breached, it is reasonably inferable from her pleadings
and evidence that the alleged breach relates primarily to:
·
the
non-payment of her March 2022 salary, and
·
the
non-payment of the annual leave allowance allegedly due for the four years she
served with the Defendant.
This
is consistent with the email exchanges admitted as Exhibits C3–C5, which
predominantly centered around requests for payment of outstanding salary.
Learned
counsel for the Claimant also framed an issue arising from breach of Exhibit
C2, particularly on the failure to pay leave allowance and the outstanding
salaries for March and April 2022.
The
Defendant’s response was that the Claimant was not entitled to paid leave
because she had not been confirmed as a permanent employee. However, Exhibit C2
contains no provision suggesting probation, nor any clause conditioning leave
entitlement upon confirmation. I had earlier held that the Claimant’s leave
entitlement accrued annually upon each completed year of service. Consequently,
failure to pay accrued leave allowance constitutes a breach of the express
terms of Exhibit C2.
With
respect to the unpaid salaries for March and April 2022, the Defendant did not
deny withholding same. Its justification was that the Claimant allegedly failed
to perform assigned duties and failed to return company property in her
possession.
Upon
examining the email trail in Exhibits C3–C5 and C8, it is beyond dispute that
the Claimant persistently demanded her March salary. The Defendant’s Managing
Director responded by requesting financial work files (“TB” and “GL”), and that
a certain Mary must be on ground for the Claimant to show where she kept all the vital documents while indicating
that payment was being withheld pending assessment of alleged losses. On 4th
May 2022, the Claimant wrote stating that she had been waiting at the company premises
for the said Mary to finalize hand-over, yet payment was still not made. The
Defendant replied that payment would only be made “after seeing the damages
caused.”
In
my view, this position is untenable.
Salary
or wages arises as consideration for services rendered. The Labour Act (Section
91) defines wages as:
“remuneration or
earnings… payable by virtue of a contract by an employer to a worker for work
done or to be done or for services rendered or to be rendered.”
Once
work is substantially performed within a given salary cycle, the right to
salary crystallizes. Even where an employer alleges lapses or dereliction of
duty, the proper remedy lies either in appropriate disciplinary action or
proportionate deduction but not the outright forfeiture of earned salary.
Thus,
even if hypothetically some duties remained outstanding, the Defendant had no
lawful basis to withhold the entirety of the Claimant’s monthly salary. The
obligation under Exhibit C2 to pay agreed monthly remuneration at the end of
each month is absolute. Non-payment amounts to breach of contract.
Accordingly,
I find that the Defendant breached Exhibit C2 in at least two key respects:
1.
Failure
to pay accrued leave allowance; and
2.
Failure
to pay salaries for March and April 2022.
Having
so found, the question that follows naturally is what remedy is applicable in the
circumstances.
The
Claimant seeks ?50,000,000.00
as general damages. However, the Court is guided by Section 19(d) of the
National Industrial Court Act 2006, which empowers the Court to award
compensation or damages considered just in the circumstances of the case.
In
exercising this discretion, the Court considers:
·
the
nature of the breach
·
the
employment relationship
·
the
period affected
·
the
need to compensate, not punish
It
would not be justifiable, on the facts, to grant the full sum of ?50,000,000.00 as
claimed, bearing in mind that the breach relates to unpaid contractual
entitlements rather than egregious or oppressive conduct.
Nevertheless,
the Claimant is entitled to reasonable general damages to cushion the hardship
occasioned by the unlawful withholding of salary and failure to honour
financial terms of employment.
Accordingly,
I hold that Relief Six succeeds in part, and pursuant to Section 19(d) of the
National Industrial Court Act 2006, I award the sum of ?2,000,000.00 (Two
Million Naira) as general damages against the Defendant for breach of the
employment contract dated 27th December 2017.
Relief
Seven seeks “Full monthly salary/allowances from
March 2022 until the determination of this suit.”
This
Court has already found that the Defendant failed to pay the Claimant her
salaries for March and April 2022, and that her employment came to an end in
April 2022. There is no evidence that the Claimant continued to render services
to the Defendant thereafter. Accordingly, the Claimant cannot validly claim
salaries beyond the termination of her employment.
However,
having established that the Claimant duly earned her salaries for the months of
March and April 2022, and same remain unpaid, she is entitled to those
outstanding sums.
Consequently,
Relief Seven succeeds only to that limited extent, and this Court hereby orders
the Defendant to pay to the Claimant her full salaries for the months of March
and April 2022.
Relief
Eight seeks “The sum of ?30,000,000.00 (Thirty Million Naira) as severance benefit.” I have carefully examined the Claimant’s statement of
facts, her witness statement on oath and the documentary exhibits tendered.
There
is, however, no pleading or evidence showing that the Defendant operates a
severance policy or explaining how the Claimant became entitled to any
severance benefit, nor how the specific figure of ?30,000,000.00 was
computed. This court is therefore in no position to speculate as to the
existence, content or applicability of any alleged severance benefit
arrangement in favour of the Claimant. Courts of law decide issues on the basis
of credible evidence and not based on conjecture or assumptions.
In the case of
EJEALOR & ORS v. GOV OF IMO STATE & ORS (2017) LPELR-42290(CA) the
court held that:
"There
are many cases dealing with what constitutes academic question. See in this
regard the case of PLATEAU STATE OF NIGERIA V. ATTORNEY-GENERAL OF THE
FEDERATION (2006) LPELR-2921 (SC) wherein Tobi, JSC, (now of blessed memory)
said thus: "... A suit is speculative if it is based on speculation. A
suit is speculative if it is not supported by facts or very low on facts but
very high in guesses. As Courts of law are not established to adjudicate on
guesses but on facts, such actions are struck out. A suit is hypothetical if it
is imaginary and not based on real facts. A suit is hypothetical if it looks
like a "mirage" to deceive the defendant and the Court as to the
reality of the cause of action. A suit is hypothetical if it is a semblance of the
actuality of the cause of action or relief sought." See also SALIK V.
IDRIS (2014) LPELR-22909 (SC) "Per LOKULO-SODIPE. J.C.A. (Pp. 47-48,
Paras. D-D).
In
addition, the court in the case of U.T.B. v. Ozoemena (2007) 3 NWLR (P1.1022)
448 held that:
"A
court is not entitled to assume or speculate anything. It is dangerous and
unfair to do so. Often times, it leads to a miscarriage of justice as appears
in the instant case." Per Ogbuagu, JSC. (P. 47, paras. D-E).
Given
the total absence of factual or contractual basis establishing entitlement to
severance benefit — let alone the quantum claimed — Relief Eight is ungrantable,
devoid of merit and is accordingly refused.
Relief
nine is for “the sum of N20,000,000.00 (Twenty Million Naira) only as damages
for the emotional, physical and psychological trauma and health challenges
suffered by the Claimant as a result of the unlawful termination of her
employment without notice.”
This
relief is clearly predicated on two essential pillars:
1.
that
the termination of the Claimant’s employment was unlawful; and
2.
that
the said termination occasioned the Claimant some recognizable emotional,
physical or psychological trauma or health challenge warranting compensation.
With
respect to the first foundation of the claim, this Court had earlier found that
the Claimant was duly notified of the intention to terminate/dismiss her
employment via Exhibit D20 and that reasons were also conveyed therein. In the
light of that finding, the determination of the Claimant’s employment cannot,
in law, be characterized as unlawful. Having failed to establish that her exit
from employment was wrongful or unlawful, the basis upon which damages are
sought in this relief automatically collapses. It is trite that where there is
no wrong, there can be no remedy.
Turning
to the second component, it is incumbent on the Claimant to plead material
facts and lead credible evidence to show that she indeed suffered emotional
distress, physical trauma, psychological injury, or health complications
traceable to the acts of the Defendant. I have carefully reviewed the pleadings
and evidence before this Court, and I find that there is a complete absence of:
·
any
pleading describing the nature, extent, or diagnosis of the alleged trauma or
health challenge;
·
any
medical report, prescription, hospital record or expert evidence linking such
condition to the termination of employment; or
·
any
witness evidence corroborating the assertion of psychological or emotional
injury.
This
Court cannot proceed on conjecture or assume the existence of facts not proved.
The
law is well settled that he who asserts must prove. Where a party claims
damages, especially of the nature sought here, the Court must be satisfied
through credible evidence that the alleged injury indeed occurred and was
occasioned by the wrongful conduct of the opposing party. In the instant case,
not only has the Claimant failed to prove the alleged trauma or health
challenge, the very premise upon which the damages are sought—namely that the
termination was unlawful—has not been established.
Accordingly,
I hold that the Claimant has failed to establish any factual or legal basis for
the award of the sum of ?20,000,000.00 as damages for emotional,
physical or psychological trauma.
Relief
nine therefore fails and is hereby refused
Relief
Ten seeks “The sum of ?20,000,000.00 (Twenty Million Naira) as exemplary damages
for breach of the letter of employment.”
The
law is settled that exemplary damages are awarded only in limited and
exceptional circumstances.
Exemplary
damages is a unique class of damages and in describing the circumstance where
the said damages is awarded, the Supreme court in Allied Bank (Nig.) Ltd v.
Akubueze (1997) 6 NWLR (Pt. 509), where it was held that exemplary damages are
awardable only:
1.
for oppressive,
arbitrary or unconstitutional acts by government officers,
2.
where the defendant’s
conduct is calculated to profit from wrongdoing, or
3.
where expressly authorized
by statute.
The
Claimant has not pleaded or proved any circumstance falling within these
exceptions. While I have awarded general damages for breach of the contract of
employment, the facts of this case do not warrant the additional punitive
sanction of exemplary damages.
Accordingly,
Relief Ten is refused.
In
the light of all the foregoing, and having carefully considered the pleadings,
evidence and submissions of counsel, the sole issue for determination is
resolved partly in favour of the Claimant, to the extent that the Claimant is entitled only to:
1.
General
damages in the sum of ?2,000,000.00
(Two Million Naira) for breach of contract, pursuant to Section 19(d) of the
National Industrial Court Act 2006; and
2.
Payment
of her full salaries for March and April 2022.
In
the final analysis, the case of the Claimant is only meritorious in the extent
to which Reliefs 6 and 7 have been granted.
All
other reliefs lack merit and are hereby dismissed in their entirety.
Judgment
is accordingly entered.
I
make no order as to costs.
……………………………………………………………….
HON. JUSTICE Z. M. BASHIR, Ph.D.
JUDGE