CWC raises concerns over MSC’s efforts to undermine Nigeria’s legal system

The Citizens Whistleblowers Coalition (CWC) has voiced alarm over the Mediterranean Shipping Company’s (MSC) attempt to secure an anti-suit injunction from a London court, which the group claims undermines Nigeria’s civil justice system.

According to CWC, MSC obtained an ex parte anti-suit injunction from the High Court in London (Suit No: CL-2024-000700), aiming to block a Nigerian company from pursuing a litigation related to admiralty matters within Nigeria.

In a statement released on Sunday in Port Harcourt, Nafiu Ibrahim, Head of Research and Monitoring at CWC, explained that MSC claims an exclusive jurisdiction clause in their terms of engagement gives the High Court in London sole authority over disputes related to shipping services rendered to Nigerians and Nigerian companies.

The clause allegedly allows MSC to litigate against Nigerian companies worldwide, while forcing Nigerian parties to seek legal recourse only in London.

CWC condemned the clause, describing it as an affront to Nigeria’s sovereignty and a deliberate attempt to undermine the country’s legal system.

The group emphasized that Nigerian law is clear on the jurisdiction of the Federal High Court in admiralty matters connected to Nigeria.

Citing Section 20 of the Admiralty Jurisdiction Act, CWC pointed out that agreements that attempt to exclude the jurisdiction of Nigerian courts in admiralty matters are null and void if:

1. The place of delivery or performance is in Nigeria, or
2. Any of the parties resides in Nigeria.

The coalition also expressed concern over MSC’s allegedly oppressive practices, particularly with respect to demurrage and detention charges.

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It highlighted that requiring Nigerians to seek legal redress in London only exacerbates the unfairness of these practices.

“MSC conducts significant business operations in Nigeria but appears to disregard Nigerian laws while profiting from the country. This requires scrutiny from the Nigerian Presidency, the National Assembly, and the judiciary,” the statement read.

CWC further called for a comprehensive investigation into MSC’s activities in Nigeria, including its tax compliance, arguing that a company unwilling to subject itself to Nigerian legal systems might also be evading tax obligations.

Despite being one of the world’s largest container shipping lines, with over 200,000 employees and annual revenues exceeding €86 billion, MSC is urged to respect the legal systems of the countries where it operates, according to the coalition.