Court rules Canadian financier can repossess Arik Air aircraft under Cape Town Convention 

The ruling, issued on November 27, 2024, by Justice Alexander Oluseyi Owoeye, follows the issuance of Nigeria’s Federal High Court (Cape Town Convention and Aircraft Protocol) Practice Direction on September 12, 2024.

This new practice direction establishes legally binding rules that reinforce Nigeria’s commitment to the Cape Town Convention, instructing courts to apply its provisions in relevant cases without interference from other legal provisions.

The court granted EDC the right to reclaim and dismantle the CRJ1000 aircraft, which had been grounded by Arik Air.

The disclosure, first reported by ch-aviation on Thursday, was shared the same day by Minister of Aviation and Aerospace Development, Festus Keyamo, on his official X page, endorsing the news and affirming its authenticity.

“First victory in court in Nigeria courtesy of the Cape Town Convention. The courts applied the CTC to the fullest and allowed instant repossession of an aircraft,” Keyamo’s tweet read.

This ruling marks a pivotal moment for Nigeria’s aviation sector, highlighting the country’s growing commitment to international leasing standards, particularly those of the Cape Town Convention.

The applicants in the case were Captain Samuel Caulcrick, the local repossession agent appointed by part-out firm Merchant Express Cargo, and Captain Isiaka Oyeshina Akinfenwa, CEO of the firm. Merchant Express Cargo had the CRJ teardown contract.

In previous hearings, both men had criticized the tactics of the Economic and Financial Crimes Commission (EFCC) and Arik shareholder and founder, Johnson Arumemi-Ikhide.

Among other findings, Justice Owoeye’s ruling revealed that EFCC officials had harassed, threatened, questioned, intimidated, detained, and threatened to detain the applicants during their attempts to repossess the aircraft.

The aircraft had been deregistered in 2022, but efforts to repossess it were blocked by the EFCC, citing concerns about the legality of the sale.

The Federal High Court’s ruling clears the way for EDC to proceed with the repossession, marking a significant step forward in the enforcement of international aviation laws in Nigeria.