PRINCIPLE STATEMENT

The cause of action generally accrues on the date on which the incident giving rise to the cause of action occurs; under section 11(1) of the Nigerian National Petroleum Corporation Act, 1977, an action in relation to an incident must be instituted within twelve months next after the act, neglect or default complained of.

RATIO DECIDENDI (SOURCE)

Per Adio, JSC, in Eboigbe v. Nigerian National Petroleum Corporation (1994) NLC-2491990(SC) at p. 6; Paras C--E.
"The cause of action, generally, accrues on the date on which the incident, giving rise to the cause of action, occurs and, in the case of section 11(1) of the Nigerian National Petroleum Act, 1977, an action in relation to an incident giving rise to the cause of action must be instituted within twelve months next after the act, neglect or default complained of..."
View Judgment

EXPLANATION / SCOPE

Limitation periods run from cause of action accrual—when all elements necessary to sue exist. Generally, this is when: the wrongful act occurs, damage is sustained, and the plaintiff could maintain an action. The NNPC Act creates a special 12-month limitation for actions against NNPC, running from the date of the act, neglect, or default complained of. This short period serves: promoting prompt claims, allowing NNPC to manage liabilities with certainty, and preventing stale claims. Accrual timing is critical—late discovery doesn’t extend the period (unless discoverability rule applies, which it typically doesn’t for statutory limitations). Claimants must: identify when the cause of action accrued, calculate the limitation period carefully, and file within time. The principle establishes that limitation periods generally run from the incident date, not from when damage manifests or plaintiff discovers the claim, unless statute provides otherwise

CASES APPLYING THIS PRINCIPLE