THE Federal High Court in Abuja has dismissed a N170 million claim brought by Micheleti & Tal Limited over a contract to rehabilitate the Lagos International Trade Fair Complex, ruling that the company waited too long to seek legal redress.

Justice James Omotosho delivered the judgment on October 12, 2026, holding that the case was statute-barred because it was filed after the legally permitted period for bringing the action had expired.

The court also struck out Zenith Bank Plc as a defendant, ruling that the lender had no contractual relationship with the claimant and could not be held liable for an agreement between the company and the Federal Ministry of Trade and Investment.

The dispute arose from a rehabilitation contract dated October 14, 2005, and the parties’ disagreement over payments allegedly due for work carried out at the complex.

Micheleti & Tal sought damages, outstanding payments, litigation expenses and accrued interest, with its total claim estimated at N170 million.

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Contractor said ministry owed outstanding payment

A Director of Micheleti & Tal, Shay Tal, argued that the company had substantially performed the contract, helping the ministry successfully host the ECOWAS Trade Fair at the Lagos International Conference Centre.

He said the company had repeatedly written to the defendants to demand payment of the outstanding balance but had not received the money.The company maintained that it was entitled to payment for the work completed under the agreement. The defendants, however, disputed their respective liabilities.

The case subsequently turned on the contractual obligations of the ministry and the bank, as well as whether the company had instituted its action within the time allowed by law.

Zenith Bank says it was not party to contract

Zenith Bank denied responsibility for the dispute, arguing that it had no contract with Micheleti & Tal and was not involved in the performance of the rehabilitation agreement.

In a statement on oath, a Branch Head at the bank, Adebisi Ogunleye,said the ministry’s payment instruction of October 14, 2005, merely directed the lender to pay N150 million to the claimant.

The bank argued that the instruction did not make it a party to the underlying contract and that the claimant had no legal basis to enforce contractual obligations against it.

Its counsel told the court that only parties to a contract could ordinarily sue or be sued over its terms. The lawyer also argued that the claimant had not established any wrongdoing by the bank.

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Justice Omotosho agreed that the relationship between the ministry and Zenith Bank was that of banker and customer. He said the bank was required to act according to its customer’s instructions but could not be held responsible for obligations arising from a separate contract to which it was not a party.

The judge noted that the relevant payment document identified the purpose of the funds but did not refer to the claimant in a manner that established the bank’s contractual liability.

He further held that a bank could be required to pay a third party through a court order in garnishee proceedings, but that was different from the contractual dispute before him.

The court found no reasonable cause of action against Zenith Bank and struck it out of the suit.

Six-year delay proved fatal to claim

The court’s decision on the claim against the ministry rested on the time that had elapsed before the company filed its case.

Justice Omotosho said Micheleti & Tal’s cause of action arose on October 28, 2005, when it demanded payment of N97.65 million, which it identified as the outstanding balance from a total sum of N292.85 million.

According to the judge, the alleged breach occurred when the ministry failed to pay the amount due for work already completed.

However, the company did not institute the action until December 2011, more than six years after the dispute arose.

The judge calculated that the claimant had until October 27, 2011, to file the case. By waiting until December, it exceeded the applicable limitation period.

Justice Omotosho held that the law did not permit a claimant to revive a case after the statutory deadline had passed simply because the underlying dispute remained unresolved.

The court therefore dismissed the suit as statute-barred.

Background to the Trade Fair Complex

The Lagos International Trade Fair Complex, located along the Badagry Expressway in Ojo, was developed as a major venue for exhibitions and commercial activities, attracting businesses and investors from Nigeria and other parts of West Africa.

The Lagos International Trade Fair began in 1977 and became an important platform for showcasing products, services and investment opportunities.

In 2017, the Federal Government took over the complex after raising concerns about the concessionaire, Aulic Nigeria Limited, including an alleged failure to remit N6 billion in lease fees. The management board at the time said the concessionaire had breached its agreement with the government.

The latest judgment resolves Micheleti & Tal’s payment claim in court, with the limitation period proving decisive in the dismissal of the action.

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