The Appellant referred to sections 251 and 272 of the Constitution and argued that the High Court of Rivers State did not have the requisite jurisdiction to entertain the suit. One of the issues submitted for the consideration of the Supreme Court was whether the Respondent’s claim fell within the admiralty jurisdiction of the Federal High Court as to rob the High Court of Rivers State The Appellant further appealed to the Supreme Court. On appeal, the Court of Appeal upheld the decision of the High Court. The Court, among other reliefs, awarded in favour of the Respondent the sum of N8,800,000.00 (Eight Million Eight Hundred Thousand Naira), (the equivalence of 23,097 US Dollars) being the hire rentals of the houseboat. The Appellant denied the Respondent’s claims and contended that it did not take delivery of the houseboat because the Respondent failed to meet the delivery deadline and also because the boat did not meet the required standard.Īt the conclusion of the trial, the High Court found as a fact that there was a contract between the parties involving the hire of the houseboat. Upon the completion of the modification, the Respondent alleged that the Appellant refused and or neglected to make payment for the hire of the houseboat. Request, the Respondent claimed to have carried out further modification of the houseboat while the houseboat was in possession of the Appellant. After the delivery of the houseboat to the Appellant, the Appellant requested that the houseboat be upgraded to European executive standard. It was the Respondent’s case that it delivered the houseboat to the Appellant for the temporary use of the Appellant’s staff. The Respondent commenced this action at the Rivers State High Court claiming, among other reliefs, the sum of N14,800,000.00 (Fourteen Million, Eight Hundred Thousand Naira only), (the equivalence of 38,845 US Dollars) representing hire rentals of the houseboat Prince III. It also highlights the implication of the decisions for the maritime industry. The case under review examines the application of the concept of simple contracts by the Supreme Court in determining the admiralty jurisdiction of the Federal High Court. This has created uncertainty regarding the admiralty jurisdiction of the Federal High Court as most admiralty matters are based on simple contracts. Instead, it is the State High Courts that can exercise jurisdiction in respect of simple contractual claims. The Supreme Court has endorsed the position that the Federal High Court does not possess jurisdiction in respect of simple contracts. The application of the concept of simple contracts within the context of the subject matter jurisdiction of the Federal High Court has unsettled and rendered less defined the admiralty jurisdiction of the Federal High Court. The 1999 Constitution further settled the issue in section 251(1) which provides that the jurisdiction of the State High Courts is subject to the exclusive jurisdictional competence of the Federal High Court on specific subject matters listed in section 251, which includes “any admiralty jurisdiction.” PAN ATLANTIC SHIPPING & TRANSPORT AGENCIES where the Court held that the Federal High Court and the State High Courts had concurrent jurisdiction over admiralty matters. The Supreme Court resolved this jurisdictional wrangling in SAVANNAH BANK LIMITED V. Prior to the promulgation of the 1999 Constitution, there existed a jurisdictional tussle on admiralty matters between the Federal High Court and the State High Courts. It is interesting to note that the scope of this admiralty jurisdiction of the Federal High Court has become less clear following a number of recent court decisions. Section 251(1)(g) of the Constitution confers on the Federal High Court the competence to entertain any admiralty matters in Nigeria to the exclusion of all other courts in the country. The jurisdiction of a court to entertain a matter is conferred on the court by the Constitution of the Federal Republic of Nigeria 1999 (as amended) or by the statute that created the court.
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