Ratio Decidendi

Per Onnoghen, JSC, in Nwankwo & Anor v. Ecumenical Development Co-Operative Society (EDCS) U.A (2007) NLC-123-33-2002(SC) at pp. 22–23; Paras C–E:

"The 1st appellant writing on behalf of the principal debtor stated: 'We acknowledge the fact that the Amike Ezzangbo Community Farms (Nig.) Limited borrowed from EDCS a total sum of U.S. $500,000.00 and that the Company regrettably had defaulted in paying the installment of principal due and accrued interest.' The above is a clear admission of the debt in issue and it becomes obvious that the purported 'defence' raised by the appellant is … a sham."

Explanation / Scope

A judicial admission is conclusive and relieves the party of the need to prove the admitted fact. In undefended list proceedings, a clear admission of debt destroys any purported defence. The defendant cannot raise a sham defence after admitting the claim. The court will enter judgment for the plaintiff on the strength of the admission.

Cases Applying This Principle