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IN THE NATIONAL INDUSTRIAL COURT HOLDEN AT LAGOS BEFORE THEIR LORDSHIP Hon. Justice B. B. Kanyip - Presiding Judge Hon. Justice V. N. Okobi - Judge Hon. Justice F. I. Kola-Olalere. - Judge Hon. Justice J. T. Agbadu-Fishim - Judge DATE: JULY 9, 2009 SUIT NO. NIC/14/2006 BETWEEN Mrs. G. I. Oyeleke Mrs. M. N. Emefiena Mr. A. Umayah Mr. T. Torniyetan Mr. I Adelana - - Claimants/Applicants AND 1. NICON Insurance Plc 2. NICON Risk Management & Survey Limited - Respondents REPRESENTATION Mrs. O. Y. Akindele, for the claimants/applicants. K. P. Abegunde, for the respondents JUDGMENT The claimants/applicants were all employees of the 1st respondent and upon employment were assigned to work at the Risk Management and Survey Department, which was later incorporated as a limited liability company and became the 2nd respondent, and a subsidiary of the 1st respondent. The claimants approached this Court seeking the following reliefs: (1) A declaration that the disengagement of the claimants by the respondents without recourse to the conditions of service of the 1st respondent and the provisions of the collective a green binding in the industry is wrongful and a violation of the claimants’ rights. (2) A declaration that the respondents’ failure to pay the salaries of the claimants for seven months i.e. from April 2006 to October 2006 without any lawful excuse is illegal, and a violation of the Labour Act and all international conventions on labour. (3) An order of this Court mandating the respondents to immediately pay to the claimants all salary arrears from April 2006 to October 2006 and Christmas bonus for year 2006. (4) An order of this court mandating the respondents to pay to the claimants all education allowance, inconvenience and hardship allowance, furniture allowance and other allowances and benefits enjoyed by the members of staff of the 1st respondent since the creation of the 2nd respondent. (5) An order mandating the respondents to monetize the claimants’ long service award and credit it into their entitlement account. (6) An order of Court merging the service years of the 4th and 5th claimants in both the 1st and 2nd respondents service for purposes of pension, gratuity and computation of terminal benefits. (7) A determination of the question as to whether the claimants are entitled to promotions and annual increments and bonuses enjoyed by their colleagues in the 1st respondent’s service and or a consequential order mandating the respondents to pay the claimants all entitlements that would have accrued to the claimants had promotions and annual increments been given since 1995. After the exchange of pleadings, the claimants’ counsel orally submitted that based on the admission of the respondents in paragraphs 16 and 18 of the statement of defence dated February 10, 2009, this Court should enter part judgment in their favour in respect of the admitted claims with interest to be paid at the rate of 25% per month pursuant to Order 21 Rule 4 of the National Industrial Court (NIC) Rules 2007. The respondents’ counsel did not oppose the application but argued that such application should be formally made by a motion on notice. The respondents’ counsel did not also concede to the 25% interest prayed for by the claimant. This court then ruled that the claimants should file their motion for part judgment along with a written address within 7 days and serve same on the respondents for their response. In compliance with the order of this Court, the claimants filed a motion on notice dated May 5, 2009 and filed on the same date. The motion, brought pursuant to Order 10 Rule 5(3), Order 11 Rules 1 and 8(1), and Order 21 Rule 3(4) and (5) of the NIC Rules 2007 and sections 7 and 14 of the NIC Act 2006 and under the inherent jurisdiction of this Court, is praying for the following reliefs: (1) An order entering final judgment for the claimants/applicants against the respondents jointly and severally in relation to claims No. 2 and 3 of the claims as contained in their originating process dated 8 April 2008, upon the admissions contained in paragraphs 1 6 and 18 of the respondents’ statement of defence dated 10th February 2009. (2) An order directing the respondents to pay 25% interest per month on the said salaries and allowances from April 2006 till the claimants receive the full payment of salaries and allowances worked for and unpaid for by the defendants for over three years without lawful excuse. (3) An order directing that the said salaries/allowances and interest thereof be paid within 7days of the making of the order of Court. (4) And for such further order or orders as this Court may deem fit to make in the circumstance. The said motion on notice is supported by a five-paragraphed affidavit deposed by one Tunde Odebiyi, a litigation clerk in the law firm of the claimants’ counsel. In arguing the motion, the claimants submitted that it is trite that a party could ask for judgment at any stage of the proceedings against the other party upon the admission of that other party, citing section 14 of the N Act 2006, which provides that: The Court shall, in the exercise of the jurisdiction vested in it by or under this Act in every cause or matter, have power to grant, either absolutely or on such terms and conditions as the Court think just, all remedies whatsoever as any of the parties thereto may app to be entitled to in respect of any legal or equitable claim proper1 brought forward by the court so that as far as possible, all matters in dispute between the parties may be completely and finally determined and all multiplicity of legal proceedings concerning any of those matters avoided. The claimant then submitted that based on the admission of the respondents at this stage of the proceedings, this Court acting under its statutory and inherent jurisdiction can on this legal claim completely and finally determine this issue so that the claims in paragraphs 2 and 3 of the claimants’ originating process may be settled once and for all. According to the claimants, the Supreme Court, per Wali JSC, in CCE Importacao v. Sanusi Brothers (Nig) Ltd [2000] FWLR (Pt. 12) 2046, whilst considering the essence of proceedings under Order 10 of the High Court of Lagos State Civil Procedure Rules of 1972, held that the essence of proceedings under Order 10 of the High Court of Lagos State Civil Procedure Rules of 1972 is to give judgment for admitted claim when there is no prima facie defence to suggest that what is admitted can be lawfully avoided. The claimants on this point also submitted that by virtue of the provision of Order 10 Rule 5 of the Rules of this Court, this Court is empowered to enter judgment for the part of the claim to which a defendant has no defence. Secondly, the claimants submitted that there is no doubt that under the Labour Act., they are entitled to their salaries as and when due, and the respondents are obliged to pay salaries of staff promptly. Quoting section 15 of the Labour Act Cap. 198, which provides as follows: Wages shall become due and payable at the of each period for which the contract is expressed to subsist, that is to say, daily, weekly or at such other period as may be agreed upon; Provided that, where the period is more than one month, the wages shall become due and payable at intervals not exceeding one month. But that in this case, the respondents refused to pay the claimants’ salaries/allowances since 2006. The claimants, therefore, submitted that this Court would be acting properly and judiciously if interest is awarded against the respondents as claimed, referring to paragraph 3 of the affidavit in support which states as follow: (i) That the respondents by paragraphs 16 and 18 admitted owing the claimants their legitimate salaries since April 2006, and yet for 3 years they refused to pay the due wages of the claimants. (ii) That the claimants who were borrowing to survive during, the said period were shocked by the cold admission of the res coming 3 years after the event. (iii) That the value of a Naira to a dollar in 2006 was Nil 5 for a dollar whereas today it is N185 to a dollar which is approximately 61% increase. (iv) That it will be great injustice to pay the 2006 salaries of the claimants to them (without more) upon admission of the respondents without considering the percentage depreciation of the Naira and the principle of time value of money. The claimants then concluded by urging this Court to grant its prayers. There was no written reaction to the said motion by the respondents, even though they were represented by counsel in Court on the day directions were taken in respect of the motion. Also none of the respondents or their counsel was present in Court on June 8, 2009 when this motion was moved, argued and adopted. However on the authority of Order 19 Rule 2 of the NIC Rules 2007, the claimants were permitted to move their application for part judgment. We have carefully considered the submissions of the claimant as to their entitlement to part judgment based on the admissions of the respondents. As noted above, the respondents were not opposed to this application. As a matter of fact, as argued by the claimants, the respondents in their paragraphs 16 and 18 of the statement of defence admitted as follows: - (16) The respondents state that the claimants are entitled to their salaries from April 2006 to September 2006. (18) . . .the respondents urged the court to dismiss the claims of the claimants except their salaries for April to September 2006. In view of the above, there is no controversy as to the entitlement of the claimants to their salaries for April to September 2006 which, as admitted by the respondents, has not been paid to the claimants by the respondents. Accordingly, we order that the said salaries of the claimants which are outstanding from April to September 2006 be paid to the claimants before the next adjourned date. On the basis of Order 21 Rule 4 of the NIC Rules 2007, we hereby order that the said salary be paid with interest at 10 %. Judgment is entered accordingly. Hon. Justice B. B. Kanyip Presiding Judge Hon. Justice V. N. Okobi Hon. Justice F. I. Kola—Olalere Judge Judge Hon. Justice J.T Agbadu-Fishim Judge