LEGAL PRINCIPLE: CIVIL PROCEDURE — Injunctions — Mareva Injunction — Nature and Scope of Mareva Jurisdiction
PRINCIPLE STATEMENT
The Mareva injunction operates to stop a defendant against whom a plaintiff has a good arguable claim from disposing of or dissipating his assets pending determination of the case or payment. The injunction can also be granted against anybody in possession of the defendant's assets.
RATIO DECIDENDI (SOURCE)
Per Edozie, JSC, in A. I. C. Limited v. NNPC (2005) NLC-2372001(SC) at p. 22; Paras A–B.
"The doctrine of Mareva injunction operates to stop a defendant against whom a plaintiff has a good arguable claim from disposing of or dissipating his assets pending the determination of the case or pending payment to the plaintiff. The injunction can also be granted against anybody who is in possession of the defendant's assets."
EXPLANATION / SCOPE
Mareva injunction prevents asset dissipation by a defendant with a good arguable claim against him. It can also reach third parties holding the defendant’s assets. The principle applies to civil procedure and injunctions. The rule protects judgment creditors from frustrated execution. The plaintiff must show a good arguable case and risk of dissipation. The injunction is discretionary and requires full disclosure.
