Supreme Court Nullifies N22 Trillion Judgment Against Union Bank in Landmark Ruling

By Abiola Olawale

Decades-Long Legal Battle Comes to an End

In a historic decision, Nigeria’s Supreme Court has overturned a Federal High Court judgment that had awarded over N22 trillion against Union Bank and other defendants, concluding a commercial dispute that spanned more than 20 years.

Origins of the Case

The legal battle began when Visana Nigeria Limited filed suit against Union Bank, claiming entitlement to nearly $8 million with a monthly compound interest of 2.5% dating back to January 2000.

The Federal High Court’s initial 2014 ruling in Visana’s favor ordered Union Bank to pay $7.6 million (or naira equivalent) with 4.25% monthly compound interest from January 2000, plus 10% annual interest post-judgment.

Appeals Process and Supreme Court Intervention

Union Bank successfully appealed in 2021, with the Court of Appeal reducing the award to $365,605.32 (or naira equivalent) with modified interest terms. However, the case remained controversial, prompting the Supreme Court’s final intervention.

Supreme Court’s Unanimous Decision

The five-justice panel, led by Justice Stephen Jonah Adah, unanimously nullified all previous rulings, criticizing the lower courts for failing to apply proper legal principles.

“This litigation has lingered far too long,” Justice Adah stated. “The two lower courts missed the opportunity to apply clear legal principles, thereby creating unnecessary complications.”

Impact and Resolution

The Supreme Court’s decision brings finality to a case that had placed significant financial pressure on Union Bank and highlighted systemic issues in Nigeria’s commercial dispute resolution process.

For more details on this landmark ruling, read the original article on New Diplomat.