The Nigerian maritime sector has always represented a significant commercial engine of the Nigerian economy. Opportunities for Nigeria’s economic growth through linkages in global and inter-Africa supply chains through our maritime lanes remain robust and significant.
The efficiency and adaptability of our maritime sector are thus critical and the Nigerian government has laid down a marker by prioritising the need to augment the nation’s GDP from the maritime sector.
For the first time, a Ministry of Marine and Blue Economy has been established to harness the nation’s ocean and coastal resources for economic growth.
In line with these initiatives, the Nigerian Judiciary is also playing its role by updating the Admiralty Procedure Rules, to foster a fit-for-purpose dispute resolution mechanism for stakeholders in the sector and this is symbolised by the enactment of the Admiralty Jurisdiction Procedure Rules, 2023 (“the AJPR 2023“).
After consultation with maritime practitioners, the Admiralty Jurisdiction Procedure Rules of 2011 (“the AJPR 2011”) was repealed and replaced by the AJPR 2023 under the authority of the Honourable Chief Judge of the Federal High Court, Justice Terhiemba Tsoho, in exercise of his powers under Section 254 of the Constitution of the Federal Republic of Nigeria and Section 21 of the Admiralty Jurisdiction Act 1991 (AJA).
The AJPR aims at augmenting the Admiralty Practice and Procedure at the Federal High Court, bringing it in line with global best practices and making Nigeria a regional dispute resolution hub for Africa.
Several changes have been made. The most notable are outlined below:
Notable New Provisions:
1. THE ESTABLISHMENT OF ADMIRALTY DIVISIONS AND THE DESIGNATION OF ADMIRALTY JUDGES:
The Chief Judge has now mandated the establishment of Admiralty Divisions for the Court and designated Judges of the Federal High Court as Admiralty Judges. This is significant in ensuring that specialist Judges focus on maritime cases exclusively.
2. ESTABLISHMENT OF THE ADMIRALTY REGISTRY AND THE HEAD OF THE ADMIRALTY REGISTRY:
The establishment of the Admiralty Registry of the Admiralty Division of the Court and the empowerment of the Admiralty Marshal (or his substitute) to head the Admiralty Registry of each Admiralty Division further reinforces the clear objective of promoting maritime specialisation.
3. VALIDITY OF WARRANT OF ARREST IRRESPECTIVE OF TRANSFER OF ACTION:
The AJPR 2023, in preserving the position that an admiralty action in rem may be commenced in the Judicial Division of the Court in which the res may be found or is expected to arrive. have introduced two novel provisions:
- Where an admiralty action in rem is not commenced in a Judicial Division where the subject of the maritime (the “res”) is located or expected to arrive. provision is now made for the transfer of the warrant of arrest to the appropriate Judicial Division where the subject of the action is located or expected to arrive, and the warrant of arrest shall remain enforceable against the res in any Judicial Division in which the res may be located.
- Where a suit is commenced in any Judicial Division other than the Judicial Division where it ought to be commenced, the Rules provide that the suit may be heard and determined in that Judicial Division unless the Court directs otherwise.
4. IDENTIFICATION OF PARTIES IN ACTION IN REM
The AJPR 2023 has abolished the previous requirement of specifying the “relevant person” as a defendant, in an action in rem in relation to a proprietary maritime claim. The only parties to be specified as the defendant in the Writ of Summons are the Ship or Other property. However, in an action in rem in relation to a general maritime claim, as in addition to specifying the ship or other property, a relevant person must be specified as a defendant.
This helps to clear up unneccsary technicalities that have developed in recent years, which have unfortunately impeded the progress of maritime actions.
5. RECOGNITION OF PHYSICAL AND DIGITAL SERVICE
The AJPR 2023, mandates that a Writ of Summons, a Court order of arrest, and a warrant of arrest in an action in rem, be served through physical service.
Additionally, the Rules have now accomodated a digital approach allowing for other Court Processes in an action in rem to be served on the defendant through the defendant’s email address.
Also, a legal practitioner in representing the defendant, can be properly served with such other Court Processes.
6. MEDIUM OF SERVICE WHERE VESSEL IS ABANDONED OR DEFENDANT’S WHEREABOUTS UNKNOWN
The AJPR 2023, provides that where an action in rem is commenced against the ship or other property which has been abandoned in Nigeria or in personam is filed against the defendant who does not reside in or carry on business in Nigeria through an agent, the Court may order service on such defendant or owner of ship or other property and such service shall be done at the last known address of the defendants business and which shall be delivered by Courier between Nigeria and in the Country of business.
Alternatively, the service shall be by any mode as accepted by the Court.
7. ARRESTING A SHIP AND OTHER PROPERTY:
DIGITILISATION
The AJPR 2023 introduces electronic filing (“e-filing) that has been in use in the judicial divisions of state high court and in major cities in country.
There are provisions for the physical filings (to be done at the Admiralty Registry) or e-filing (to be done at the Admiralty E-filing Unit) as regards, ex parte applications for a warrant arrest of a ship or other property. Such e-filed ex-parte applications must be in PDF (Portable Document Format) and shall be sent to the email address as shall be provided by the Admiralty Registry. E-filing, fees payable for the court processes shall be assessed and paid online.
EXPEDITIOUS – PHYSICAL & VIRTUAL HEARINGS
The AJPR 2023 mandates that where it is practicable, such application shall be heard and determined within a twenty-four (24) hour timeline from the date of filing, and such proceedings may be conducted physically or virtually on any day, including Sundays and public holidays.
CAVEATS AGAINST ARREST
The AJPR 2023 now requires that before a warrant of arrest is issued, the applicant must apply for a search to be made in the caveat book to determine whether or not there is a caveat against the arrest of such ship or other property.
Upon such application for search, the Admiralty Registry is to issue a report of the search and such report shall be in Form 8A (Report of Search of Caveat Against Arrest Register).
This is an improvement from the uncertain and controversial position under the AJPR 2011, where a prospective plaintiff was required to file an affidavit stating whether or not there is a caveat against the arrest of such ship or other property. This position was susceptible to manipulation as in many cases, the Court may not be provided with the correct information.
8. WARRANT OF ARREST FOR FOREIGN COURT PROCEEDINGS AND NIGERIAN OR INTERNATIONAL SEATED ARBITRATIONS
The AJPR 2023 introduces a simplified process of obtaining a warrant of arrest for ships or property in support of foreign court proceedings or arbitration proceedings within or outside Nigeria. The provision ensures efficiency by allowing the Applicant to file such an application without commencing a separate action. The Rules mandate that such an application will be accompanied by the certified true copy (CTC) of the Court or Arbitration Processes, and a duly notarised undertaking as to indemnity if later found that the order for arrest should not have been made.
CONCLUDING REMARKS
The AJPR 2023 establishes a new and progressive legal regime for Admiralty Proceedings in Nigeria. steering it into alignment with contemporary maritime realities.
It is advised that all stakeholders in the maritime sector, including legal practitioners, shipping companies, and other relevant parties, familiarize themselves with the Rules to effectively navigate the intricacies of maritime legal proceedings.