Litigations may hit multinationals following Shell’s case – Report

There is a concern the litigation filed by two Niger Delta communities against Shell could spark a flurry of other suits against other multinationals operating in the region. DailyMail’s report says it fears the suit bordering on environmental degradation of the aggrieved communities might see other likely cases springing in UK courts.

The Petroleum giant and its Nigerian subsidiary, has been sued by two communities seeking £100 million in compensation for the repeated oil spills they suffered.

Shell, which blames the damage on sabotage and theft said: “Allegations concerning Nigerian plaintiffs in dispute with a Nigerian company, over issues which took place in Nigeria, should be heard in Nigeria.”

Moreso, a four-day hearing this week will decide whether the case against Shell should be heard in London, where the company is incorporated, or Nigeria.

But lawyers representing the communities claim the Nigerian legal system is too uncertain to deliver justice.

If the High Court rules that the case can be heard in London, it could open floodgates for future legal battles being held in the UK.