Paul Usoro SAN Charges NBA To Regulate and Protect The Practice

Paul Usoro SAN Charges NBA To Regulate and Protect The Practice

Learned Silk, Paul Usoro held an interactive session with Members of the NBA Sagamu Branch on Tuesday. The well attended session dealt with issues around the welfare of young lawyers, protection/promotion of the rule of law and many more.
During the session, Paul Usoro SAN summarized the challenges around the welfare of the young lawyers into three factors; Greed, Economic and Lifestyle (lack of financial orientation).

“We talk about Continuing Legal Education without talking about law office management and financial education for lawyers to help our understanding of the law practice business. I see no reason why senior lawyers should be greedy. Having practiced what I preach since 1984, I believe I have the moral right to address my colleagues. I assure you that all I have spoken about, I have the capacity to do, because at some point in my career, I have had to practice them,” Usoro said.
He also explained the need for the NBA to regulate the practice of law by protecting the business of law for lawyers.
Usoro stated “There are many non- lawyers taking over our businesses. Companies in Nigeria have non-Lawyers in their legal departments. Nigerian lawyers are excluded from major transactions under the lame excuse that “we have no experience”. I have been there before and I proved a point with the auction of our GSM Spectrum. The same goes for the NCC Act. I believe we can all do well as I did if given the opportunity.”
Speaking on the issue of public interest and protection/promotion of the rule of law, Usoro explained that there are so many things the government characterize as unlawful activities which are in reality not unlawful. He used the BVN as a case study.
“I could talk about the BVN suit where the government says accounts without BVN contain proceeds of unlawful activities. That is not howsoever true”.
 The interactive session was quite enlightening with the participation of several key members from the association led by the branch Chairman, Prince Deborah Oduguwa, to proffer solutions for the benefit of the Nigerian Bar.
Gloria Ekaette Etekamba Umoren wrote!!!!

Gloria Ekaette Etekamba Umoren wrote!!!!

Paul Usoro SAN is a gentleman to the core!The epitome of how a member of the learned profession should be.Unlike some,he didn’t become a lawyer by accident! Unlike others, he is a unifier! Both the younger and older members of the profession are at ease with him.He has the charisma! Even though he has been supportive of the NBA from when he was called, today he is not taking advantage of it!

He has come out to lead when he is ready to make the sacrifice! His contribution to legal jurisprudence is legendary! Even teachers rely on his cases to impact knowledge! Others cite his cases as authorities! His practice cuts accross different segments of the profession! At the time little was known about Telecommunications he delved into the foray and became an authority! He thrives best in challenging environments.Today’s NBA needs a man with this pedigree! A man of the people! No wonder he says he will put the interest of lawyers first as our leader!I believe him! He has without doubt the richest profile! He has the capacity to lead! I stand with Paul Usoro SAN to restore dignity to the Bar!

Citizen Particpation Key In Developing Democratic Institutions And A Succesful Democracy | Senator Gbenga Ashafa

Citizen Particpation Key In Developing Democratic Institutions And A Succesful Democracy | Senator Gbenga Ashafa


As we mark the 2018
Democracy day of our dear country Nigeria and the 3rdyear
anniversary of the President Muhamadu Buhari led, All Progressives Congress
administration, I would like to thank all Nigerians for your support this far.
Your constructive criticism, your alternative opinions, your support for the
institutions and policies of government and prayers have been the needed
impetus for those of us in government to do more. 

In the past 3 years, the
Buhari/Osinbajo led government has reconstructed a foundation of socio-economic
growth and development founded on the ideals of our constitution (Unity and
Faith, Peace and Progress) and the ideals of our party.  

We are gradually beginning
to experience prudence and attitudinal change in public service, a stiff fight
against corruption, massive infrastructural development particularly in the
areas of rails, roads, power and housing. There is also a sincere battle against
insecurity and a commitment to creating a country that holds the promise of a
secure future for our teeming young population. 

In this final lap of this
administration’s first term, I think it would be wise for Nigerians to realise
that Democracy is founded on people representation and a balance of opinion on
one hand as well as establishment of strong institutions on the other. In
essence, we must continue to engender the National conversation with a view to
ensuring that our aggregate opinions are always represented and the sanctity
our National Institutions are always protected.  The key to this is
participation.

Consequently, as we
gravitate towards the political season I urge all Nigerians to participate
actively in the entire process. Please be reminded that participation is as
much a duty as it is a right. We must therefore all be invested in ensuring
that the solid foundations built by this administration are consolidated upon.

As I conclude, I urge all
Nigerians to remember that sustainable development can only be achieved in an
atmosphere of peace. We must therefore come together to ensure that there is no
hiding place for criminals seeking to destabilise this country through
bloodletting and violence. 

Happy Democracy day Nigeria,
together we can do more.

Signed:

Senator Gbenga B. Ashafa

The Team Player; Reflections on Paul Usoro SAN |Nelson Uzuegbu

The Team Player; Reflections on Paul Usoro SAN |Nelson Uzuegbu

A lot has already been said
and written about Paul Usoro as The Man, The Lawyer, The Candidate… Some have
however called for reflections from a time more distant into the past. I am in
a position to  offer this; so I will start with a glimpse of Paul from
earlier days and from my own perspective . I will progress from there, giving
my own impressions of Paul Usoro as a boy, a law student and then a legal
practitioner.

Paul Usoro The Boy
I was privileged to know
Paul when we were quite young. It was a singular honour to meet and know and
interact with his wonderful family:  his father, mother and brothers, all
of them pleasant souls blessed with a beautiful spirit – But this is not their
story; it is about Paul in family setting with them.

When young boys and girls
are growing into young adults there is always some degree of anxiety about
their healthy development, hence cautionary words are doled out generously on
the need to make the right choices, avoid danger and stay out of trouble.
However, with Paul’s parents I noticed what seemed like total confidence in
him. In their house we came and went as we pleased,  no questions asked.
About the only advise I knew them to give him then was on the need to be modest
and not attempt too much. They knew he would aspire to great things; but he
should first prepare well. (He has always done so.) I wondered why there were
not the usual warnings about dangerous hours and people and places and about
bad girls. The answer came one day when we were travelling between Calabar and
Ikot Ekpene. As usual, Paul was driving. It was late in the night when we ran
out of fuel. All efforts to refuel failed; but there  was no panic. We
were settling down to sleep by the roadside when a man from a nearby village
offered us a chance to spend the night in his sitting room. We returned late
the next morning to a welcome that was so nice and cordial that I could not
stay cool anymore. I confronted Paul’s elder brother and asked him why there
was no search party mobilised for us and why there was not even the slightest
sign of worry or question asked about our welfare. He laughed and said to me:
“My Dear brother, we knew you’d be fine; Paul takes care of himself.
Always”.

Paul Usoro The Law Student

It is no longer news that
Paul was the President of our Law Students Society in University of Ife,
 the first to be elected from a minority tribe. He ran a transparent and
vibrant administration. Towards the end, his administration was subjected to a
most incisive scrutiny; at the end of it, everyone (including the harshest
doubters) were up on their feet applauding.

At the Nigerian Law School,
Lagos Paul had a word of encouragement for all and humour to enliven any
situation. He also knew how to answer  disparagement with chilling
silence.

Paul’s response to fear was
revealed one night when we were out on the night and got stranded far away from
our base in Victoria Island. Buses were not available at that hour and we did
not have enough money to charter a taxi. Paul said we should trek home. I was
worried, the distance was up to seven kilometres,  I did not know the
route well and we could be mugged… Paul assured us he could trace the route
home, it could be fun; and then he added:

“Look, guys, fear not;
we are three young men challenging a dark and dreadful night. If we stay solid
good people will take courage, the fear will be in the bad guys, not us.”

And so it happened. We got
home safely. I slept the best sleep ever that night and discovered the benefits
of walking.

Paul Usoro The Legal
Practitioner

It seems that almost
everything has been said about this aspect of our candidate’s life. Those who
have read recent write-ups on Paul are aware that he has become more than an
institution in our noble profession. His celebrated cases, deft moves in
industry and work in ground-breaking legislations and support for NBA
activities are already in the public domain. He has impacted well on the
profession in Nigeria and beyond our shores. This is well known. So I will
dwell only on one aspect – that of Paul Usoro SAN as a team player. His work
has not often been done alone, but in a team. When teams were formed and he was
brought in he worked as a loyal member of the team and played strategic roles.
Most times, however, he assembled and led teams; he led with courage and vision
and a deep understanding of humanity. I worked in some of his teams. I can also
say that always the results were outstanding.   When Paul worked with his
team pro bono the sense of accomplishment was reward enough. When professional
fees accrued Paul has always been fair and generous to his team members. I have
never known anyone to evince the slightest hint of discontent.

Today our jurisprudence is
developing rapidly in the usual as well as in new  areas such as
Information Technology and Telecommunications,  Sports and Entertainment,
Science,  Human Relationships,  etc. Paul has noted that many lawyers
have not grown to keep pace and key into these developments. He has promised to
address this need as Paul Usoro SAN the President of the Nigerian Bar Association
Putting-You-First. I believe him. I KNOW, dear learned colleagues, that Paul
will put you first. And he is ready for the tasks ahead…

– by Nelson Uzuegbu
The Child Rights Act And Need For Stricter Enforcement | Adedunmade Onibokun

The Child Rights Act And Need For Stricter Enforcement | Adedunmade Onibokun


The
State shall direct its policy towards ensuring that

children, young persons and the age are
protected against any exploitation whatsoever, and against moral and material
neglect.
Section
17(3)(F), 1999 Constitution of the Federal Republic of Nigeria.

On the 6th of March, 2018, the
Senate Chamber of the National Assembly passed resolutions which followed a
motion by Senator Benjamin Uwajumogu (Imo-APC) which called the attention of
the Senate to the ‘increasing rate of child labour, molestation and abuse in
Nigeria.’ Mr. Uwajumogu expressed worry over recent data published by the
National Bureau of Statistics which showed that 50.8 per cent of Nigerian
children; aged between five and 17 years are engaged in child labour.



The above statistic is very unpleasant,
especially because child labour is expressly prohibited under the Child Rights
Act, 2003. Section 28 of the Act provides that no child shall be subjected to
any forced or exploitative labour ; or employed to work in any capacity except
where he is employed by a member of his family on light work of an
agricultural, horticultural or domestic character. Most especially, Section
28(d) expressly states that no child shall be employed as a domestic help
outside his own home or family environment and further provides that any person
who contravenes the above provisions shall be liable on conviction to a fine
not exceeding fifty thousand Naira or imprisonment for a term of five years or
to both such fine and imprisonment.

However, an inspection of many Nigerian homes
will reveal that this law is hardly enforced as it is quite common to see
underage children employed as domestic staffs. There are numerous other rights
that Nigerian children are entitled to under the Child Rights Act, 2003,
including the right to free and compulsory basic education, however, this right
is also hardly adhered to by governments. Many Nigerian States are also yet to
domesticate the Child Rights Act as only about 24 states have currently done
same, a major factor which still enables child exploitation in those states.

Having been enacted at the National level,
the States are expected to formally adopt and adapt the Act for domestication
as State laws. This is because issues of child rights protection are on the
residual list of the Nigerian Constitution, giving states exclusive
responsibility and jurisdiction to make laws relevant to their specific
situations.

Last year, the National Assembly held a
consultative session in the Senate with the Speakers of State Houses of
Assembly that had not domesticated the Child Rights Act, however, the remaining
states are not getting onboard as quickly as they should.


The Deputy Senate President, Ike Ikweremadu
has suggested a consideration of the possibility of setting up a special court
for enforcing some of these rights of the children so that those who flout them
will be punished adequately, however, this may not entirely solve the problem
of enforcement as courts only adjudicate over matters brought before them and
there currently exists family courts in the Magistrate and High Courts. I on
the other hand suggest a strengthening of the agencies responsible for
providing child care supervisory roles such as the ministries for youth
development or the creation of a child protection agency with a mandate to
critically address the protection of the Nigerian Child.

Furthermore, the spate of insecurity in the
North – East has adversely affected many Nigerian children as the UNICEF
Nigeria Humanitarian Situation Report, 01-31 March 2018, reveals that there are
about 4.5 Million Nigerian Children in need of humanitarian assistance. As we
celebrate Children’s day, today, May 27, 2018, the issues of violence against
children, child molestation, child labour and other evils committed against
children still remain a grave concern.

 The
Child’s Rights Act 2003 (CRA) incorporates all the rights and responsibilities
of children, and which consolidates all laws relating to children into one
single legislation, as well as specifying the duties and obligations of
government, parents and other authorities, organizations and bodies. The Act
also provides for legal issues affecting the Nigerian child including, the duty
of the State to protect children and investigate the plight of children who
need special care and protection; child labour; harmful publications that
negatively influence children; adoption, custody and guardianship of children
and the Child Justice Administration system. 

You may read further on the rights of
children under the Child Rights Act in this article.

Adedunmade Onibokun Esq.

Images – Dr. Bukola Saraki, Senate President, Federal Republic of Nigeria, today 27th May, 2018, on a visit to the IDP Camp in Benue while spending time with the children in celebration of Children Day. 


Credit – www.twitter.com/@bukolasaraki

Privileged Communication: Does The Law Offer Sufficient Protection? | Zeniath Abiri

Privileged Communication: Does The Law Offer Sufficient Protection? | Zeniath Abiri

Privilege
is a rule of evidence that allows the beneficiary of the privilege to refuse to
disclose information or provide evidence about a certain subject or to bar such
evidence from being disclosed or used in a judicial or other proceeding. This
principle was judicially defined in B v. Auckland v. Society,[1] as a right to resist the compulsory disclosure
of information. Privilege acts to protect a witness from answering questions in
evidence, and/or entitles a party to refuse to produce documents for
inspection, during the course of legal proceedings. This doctrine is thus, not
just a rule of evidence, but is also a substantive legal right. It follows that
it would amount to a breach of this fundamental legal right, for a court to
draw any adverse inference, from the making of a valid claim to privilege.[2]

Privilege
communications is protected in various forms and in varying degrees, in
different jurisdictions of the world. Part 3.10 of the Australian Evidence Act
2011,[3] deals with privileges and by Sections 117-128 thereof,
the following privileges have been identified; (a) Client legal privilege, (b)
Journalist privilege, (c) Religious confession privilege and (d) Privilege
against self-incrimination.

In Nigeria,
Sections 164 – 176 0f the Evidence Act of Nigeria 2011[4] and Section 16 of the Freedom of Information Act, L.F.N
2011,[5] provides for privileged communication. A combined
reading of those sections, reveals that the following types of privilege exist
in Nigeria; (a) Spousal privilege. [6](b) Judicial privilege,[7] (c) Legal profession privilege,[8] (d) Privilege against self-incrimination,[9] (e) Health worker – patient privilege ,[10](f) Journalist privilege,[11] and (g)Without prejudice privilege.[12]

While
some jurisdictions offer legal protection for communications between Priest and
penitent, Nigeria offers no such protection. Such protection is only offered by
the rules of the profession, where such rules exist.

In
the rest of this paper, I focus on the three most prominent instances of
privilege, as these instances cut across most jurisdictions of the world.

Legal Profession Privilege.

Legal
professional privilege seeks to protect communication between a client and his
lawyer. It is based on the need to obtain legal advice, freely, safely and
sufficiently. The rationale for the rule of legal professional privilege, was
given in Anderson v. Bank of British Columbia[13], in the following words; “….a man, in order to
prosecute his rights or defend himself,…should have resource to the assistance
of professional lawyers….he should be able to place unrestricted and unbound
confidence in the professional agent, and the communication he so makes, should
be kept secret, unless with his consent, that he should be enabled to properly
conduct his litigation.”[14]

Although,
privilege belongs to the party and not the lawyer, the right of privilege is
most often asserted by the lawyer.[15] This privilege is also protected by Rule 19 (1)
and (2) of the Rules of Professional Conduct for Legal Practitioners, 2007, in
Nigeria (“R.P.C Nigeria”).[16]

Duration
of Legal Profession Privilege:
The
rule is generally, once a privilege, always a privilege and once privilege is established,
the mouth of the lawyer is ‘shut forever’.[17] This position was reaffirmed in Nationwide
Building Society v. Various Solicitors,[18] Blackburn J. took a differing view in where he
held that the right to privilege is absolute and the lawyer’s mouth is indeed,
‘shut forever’. In the earlier case of R. v. Derby Magistrates Court Ex P. B.,[19] Lord Nicholls said obiter,
that in circumstances where the client has no interest in asserting the right
to privilege and the enforcement of the right would be seriously prejudicial to
another, in defending a criminal charge or in some other way, he cannot expect
the law to protect the right. I agree more with the Lord Nicholls view, as same
seems to ensure that the interest of justice is better served, which is the
whole essence of the legal system. It is important to note that the duration of
this form of privilege, continues even after employment has ceased.[20]

Categories
of Legal Professional Privilege:
There
are basically two categories; (a) Legal advice privilege: protects
communication between a client and his lawyer, which are part of the process of
the giving and getting of legal advice, without the existence or contemplation
of legal proceedings; (b) Litigation privilege only covers communications made
when there a pending litigation or a reasonable expectation of one. This form
of privilege protects information which comes into existence, for the purpose
of gathering evidence for legal proceedings and usually, includes
communications made to 3rd parties, for this purpose.

Instances
where information amounting to Legal Profession Privilege may be admitted.

By
Rule 19 (3) of the R.P.C Nigeria, a lawyer may reveal confidences or secrets
with the consent of the client or clients affected, but only after a full
disclosure to them, in the following instances;

confidences
or secrets when permitted under the rules of the R.P.C Nigeria, or required law
or a Court order;

where
the privileged information reveals an intention of his client to commit a crime
and the information necessary to prevent the crime;

secrets
necessary to establish or collect his fee or privileged communication necessary
to defend himself or his employees or associates against an accusation of
wrongful conduct, and

where
a court finds that the interest of the public in having information disclosed
is greater and far more vital than protecting the attorney-client
communication.[21]

This
is the general position in nearly all jurisdictions worldwide.

Without
Prejudice” Privilege.

This
refers to written or oral communications, which are made for the purpose of a
genuine attempt to settle a dispute, without having to recourse to litigation.
Such communications are not admissible in evidence.[22]

In
Cutts v. Head,[23] Oliver C.J said the rationale for this rule, is
to encourage disputing parties, to as much as possible, settle their disputes,
without recourse to litigation, and in doing so, parties should not be
discouraged by the knowledge that what is said in the course of such
negotiations, may be used to their prejudice, in the course of legal
proceedings.[24]

Information
disclosed without prejudice may be given in evidence in the following
circumstances:

When
the court needs to determine whether the parties reached a
compromise/agreement.

To
determine whether an agreement apparently concluded by the parties, should be
set aside on the grounds of misrepresentation, fraud or undue influence.

To
establish a clear statement which is made by one party to the negotiations, on
which the other party to the negotiations is to act and does infact act, may be
admissible, as giving rise to estoppel.

To explain
delay or acquiescence.

To
prevent the inappropriate use of privilege. Such as where a party cites the
negotiations as reason for the delay, the other party may produce the
communications to show they do not justify the delay.

Where
the word, “without prejudice save as to cost”, is used, the communications may
be admitted on questions as to cost.[25]

In
addition to the above, communications made ‘without prejudice’ will be admitted
where the dispute has been resolved or the parties agree to waive privilege.

Privilege against Self-Incrimination.

No
person is bound to answer any question in legal proceedings, if the answer
thereto, may expose him to any criminal charge or penalty. It also encompasses
the accused person’s right to silence. However, where the accused in a criminal
trial chooses to give evidence, he may be asked any question in relation, in
cress examination, irrespective of the fact that such questions tend to
incriminate him with respect to the offence charged. He may not however, be
asked questions tending to show he committed other offences, save for limited
situations[26]. The privilege allows a person to refuse to
incriminate himself or his spouse.[27]

Because
this form of privilege is usually claimed after the holder has been sworn as a
witness, he cannot refuse to attend court, for fear of incriminating himself. [28]

It
is not enough for the witness to simply assert that answering the question
incriminates him. The court must be satisfied that there is reasonable ground
to apprehend such danger to him, from his being compelled to answer the
question.[29]

Transfer of the Right of Privilege.

Although
unusual, where contractual rights transferred or assigned, includes a claim to
privilege, the claim may also be asserted and enjoyed, by the assignee or
successor-in-title.

Conclusion.

It
is my opinion that despite the exceptions to the rule on privileged
communication, the principle offers sufficient protection for those it seeks to
protect. As it concerns Legal Profession Privilege for instance, The R.P.C Nig.
makes it professional misconduct, for a legal practitioner to breach this duty, and
entitles the client to sue such a legal practitioner, and/report the legal
practitioner to the relevant body, for appropriate disciplinary measures to be
taken. Even though exceptions to the admissibility of privileged communications
exist, they are limited in scope and applied very strictly. It is a right
treated with highest regards and the need to waive it must outweigh the need to
protect the right, unless where the holder expressly waives it.

[1] [2003] 2 A.C. 736, para. 67,

[2] See Wentworth v. Lloyd [1864] 10 H.L.C. 589.

[3] (hereinafter referred to as the E.A Aust.)

[4] (hereinafter referred to as the E..A Nig.)

[5] (subsequently referred to as the F.I.A Nig.)

[6] S. 164, E.A. Nig.

[7] S. 165, E.A. Nig.

[8] .S. 170-173 E.A. Nig, S.16 (a) F.I.A. Nig.

[9] S. 176 E.A. Nig.

[10] S.16 (b) F.I.A. Nig.

[11] S. 16 (c), F.I.A Nig.

[12] with respect to disclosures made in the course of
negotiations to settle a dispute. S. 28 E.A. Nig.

[13] [1875-1876] L.R. 2 Ch. D. 644 @ 649

[14]   Horn v. Richard (1963)2 All N.L.R. 40 @ 41
and Three rivers D.C v. Bank of England (No. 5) [2003] Q. B. 1556, para. 39.

[15] (except in cases where the claim of privilege is
against self-incrimination).

[16] S.126 (b) E.A. Aust. (It must
be noted that while privilege protects documents from inspection, it does not
necessarily protect them from disclosure).

[17]  The Agis Blaze [1986] 1 Llyods Rep. 203 CA.

[18] [1999] P.N.L.R., 52 @ 69

[19] [1996] 1 A.C., 487

[20]   S. 170 (3) of the E.A. Nig..

[21]  S. 25 (1)(c) F.I.A Nig..

[22] GPI Leisure Corporation v. Yuill [1997] 42 N.S.W.L.R.,
225.

[23]  [1984] Ch. 290 @ 306

[24] See also, the Nigerian case of Chief  Oredin v.
I.P.H. El Khalil & Ors. [1978] 2 OY.S.H,C. 325.

[25] See Unilever v. Proctor & Gamble 28 [2001] 1. All
E.R., 783, per Robert Walker L.J.

[26] Documentary Evidence
Charles Hollander Q.C. Sweet & Maxwell, (9th edition), para. 17-01. See
also, Section   36 of the Constitution of Nigeria 1999 (as amended)

[27] See Blunt v. Park Lane Hotel Limited [1942] 2 All E.R.
187 @ 189.

[28] See Boyle v. Wiseman [1855] 10 Exch. 647. published by
Sibon Books Ltd,

[29] See R. v. Coote [1873], L.R. 4 P.C. 599. See also, Law
& Practice of Evidence in Nigeria
, by Afe Babalola, 2001 (ch 9 p. 173).

Zeniath Abiri

Managing
Partner
Abiri
& Mustafa Legal Practitioners.

A Lawyer’s Guide To Due Diligence |Kayode Omosehin, Esq.

A Lawyer’s Guide To Due Diligence |Kayode Omosehin, Esq.

A
lawyer will likely be engaged in legal due diligence in the course of his
advisory services to his clients, especially in respect of business
combination, a public offering of securities or regarding a credit facility. A
due diligence is simply the investigation of a target company on behalf of
investor(s) by reviewing the target company’s records, contractual documents,
court documents and interviewing its officials or other persons with useful
information about the target company.

Due
diligence takes two forms: physical and virtual. In physical due diligence, a
lawyer visits the office of a company to examine or review documents
physically. In virtual due diligence, the review or records is done online
through a “virtual data room” to which access is granted to the lawyers using
some security number or password.


1.
Purpose of Due Diligence

Essentially,
the purpose of due diligence is to reveal or identify potential assets and
liabilities of the target company. However, a lawyer should request to know the
focus of a legal due diligence to avoid spending more time reviewing irrelevant
documents. Beyond that, a due diligence should help to achieve the
following:

• To help an investor in better understanding of the
business of the target company;

• To aid the valuation of the business of the target
company;

• To aid the drafting of relevant transaction
documents between the target company and the investor;

• To identify any developments that can impede the
closing of the deal between the parties;

• To assist the lawyers in providing legal opinions to
the transaction parties;
2.
What to look out for during Due Diligence
In
the course of a due diligence, a lawyer is expected to look out for indicators
of value or potential liability or any potential development that may impede
the conclusion of the transaction. There are several material facts that elicit
the foregoing. Suffice to state that experience is a great asset in due
diligence. Few of what should be focused on, of course subject to client’s
specific instructions, are as follows:

i.
All incorporation and pre-incorporation documents of the target company to
determine:

– the shareholders and directors of the target
company;

– the authorized share capital, object clause and
capacity of the target company to enter into the proposed transaction;

– the level board or shareholders’ approvals required
by the target company to enter the transaction;

– the dividend policy or procedure for change;

– the subsidiaries of the company;

ii.
All leases or other contract documents between the target company and third
parties to determine:

– The assignment of rights and liabilities which may
affect the proposed transaction;

– Any required permits and licenses of government
prior to conclusion of the proposed transaction;

– Prohibition clauses against the proposed transaction;

– Outstanding debts or other obligations that may
become due under the contract with a third party before the conclusion of the
transaction;

– Whether any purchase or sale of assets can impact
the proposed transaction negatively;

iii.
All documents showing ownership of assets and liabilities to determine:

– Existence of any mortgage or lien or other charges
in respect of any of the properties;

– Any unpaid land use charges or development levy or
other regulatory fees;

– The value of the property from the title document;

– Any tenant in any of the properties;

– Shareholding interests in any other companies;

– Debentures issued by the company;

– Vehicles and other moveable assets;

iv.
All documents relating to proposed or pending or completed litigation to
determine:

– The potential monetary liability (if any) and
possible defence;

– Outstanding judgement sum;

– The litigation history of the kinds of claims that
have been paid in the past;

v.
All documents relating to labour and employee benefits to determine:

– Any potential or unclaimed redundancy or other
employment benefits;

– Whether there is policy on benefits in the event of
the proposed transaction;

vi.
All documents relating to tax and statutory filings to determine:

– Tax payment compliance;

– That all tax returns filing at the FIRS or the
relevant State tax authority is up to date;

– Annual returns filing at the CAC is up to date
(please note that penalty applies to late filing of annual returns by
companies);

vii. All documents relating finance of the company to
determine:

– If there is an outstanding loan obligation;

– If there is any escrow account, what funds are there
and how the funds will be used;

viii. All documents that relate to compliance with
anti-corruption laws to show:

– If any payments or gifts were given to government
officials or agencies;

– Whether any payment or gift violates any
anti-bribery and anti-corruption laws or other criminal law;

3.
Report of Due Diligence

Report
of due diligence is important to the client, whether it is an investor or
acquiring company in mergers or acquisition or other transactions. A lawyer
should make his or her report as brief as possible without leaving out
significant details. The report should be a summary of the important
discoveries and should address the instructions of the client.

4.
Common Mistakes in Due Diligence

A
lawyer should be mindful of the common mistakes in conducting due diligence.
Few of these mistakes, which must be avoided, are as follows:

i. Lack of understanding of the client’s instructions
or the proposed transaction and the focus of due diligence;

ii. Incomplete due diligence exercise as a result of
fatigue or inadequate time or personnel;

iii. Bias or other improper influence;

iv. Assumptions regarding regularity and statutory
compliance; and

v. Unclear information or misstatement of facts in due
diligence report.

NOTE:
The above is just a guide and may not address all circumstances of due
diligence. Specific enquiries can be made to kayode@koriatlaw.com

Kayode Omosehin 
Principal Associate
Koriat Law 
Source – LinkedIn 

3rd ICC Africa Conference on International Arbitration

3rd ICC Africa Conference on International Arbitration

The 3rd ICC
Africa Conference on International Arbitration will take place on Monday June
18th and Tuesday June 19th, 2018 at the Civic Centre, Ozumba Mbadiwe Street,
Victoria Island, Lagos.



The
conference is an annual event at which the African arbitration community
updates itself on developments in the region and is also a great opportunity
for participants to network and develop excellent business and professional
relationships.

Early
bird registration ends on June 1, 2018. Do take advantage of the cheaper
registration rate by calling the ICC Secretariat on 08035051058 or 08142388241
or visit the website: 
https://iccwbo.org/event/3rd-icc-africa-conference-international-arbitration

A 30%
discount is available to all YAF Members in the Region.

We
look forward to seeing you at this year’s conference!

ADDITIONAL
INFO

The
conference, which is the most important gathering for the African arbitration
community will provide invaluable updates on developments in the region, during
a series of panel discussions with a faculty of prominent speakers and thought
leaders.

 ICC’s
annual Africa conference,
held in English and French, is the key forum
for understanding international commercial arbitration in Africa. This
conference provides an indispensable update on developments in the region and
is becoming the most important gathering for the African arbitration community.
Not only does it offer a line-up of top-class speakers, topical discussions and
relevant news, but also an excellent opportunity to network. The conference
attracts more than 350 participants representing about 15 countries.

FULL
CONFERENCE PROGRAMME AND SPEAKERS ON THE SITE
: iccwbo.org/event/3rd-icc-africa-conference-international-arbitration