LEGAL PRINCIPLE: APPELLATE PRACTICE — Stay of Execution — Conditional Stay — Principles Governing Grant of Stay of Execution Pending Appeal
PRINCIPLE STATEMENT
A stay of execution will only be granted if there are special or exceptional circumstances to warrant it, as a judgment is presumed correct; special circumstances include when execution would destroy the subject matter, render the appeal nugatory, or paralyse the appellant's right of appeal.
RATIO DECIDENDI (SOURCE)
Per Kutigi, JSC, in Olunloyo v. Adeniran (2001) NLC-891999(SC) at p. 5; Paras A–C.
"Now, it is settled that a stay of execution will only be granted if and only if, the court is satisfied that there are special or exceptional circumstances to warrant doing so, because the principle of law is that a judgment of a court of law is presumed to be correct and rightly made until the contrary is proved or established. Courts will not therefore make the practice of depriving a successful litigant of the fruits of his success. A discretion to grant or refuse a stay must therefore take into account the competing rights of the parties. And where there is a pending appeal as is the situation herein, the special circumstances which have received judicial approval are when execution would: (a) destroy the subject matter of the proceedings; (b) foist upon the court a situation of complete helplessness; or (c) render nugatory any order or orders of the appeal court; (d) paralyse in one way or the other, the exercise by the litigant of his constitutional right of appeal; or (e) provide a situation in which even if the appellant succeeds in his appeal, there could be no return to the status quo."
EXPLANATION / SCOPE
Stay of execution requires special or exceptional circumstances. The judgment is presumed correct. The successful litigant is entitled to the fruits of judgment. Special circumstances include: (a) destruction of subject matter; (b) rendering the court helpless; (c) rendering the appeal nugatory; (d) paralyzing the right of appeal; or (e) impossibility of returning to status quo. The court balances the competing rights of the parties. The applicant bears the burden of demonstrating special circumstances. The list is not exhaustive. The principle protects the judgment creditor’s interest while preserving the appeal. The court must exercise discretion judicially. Stay is not granted as a matter of course.