ABOSELDEHYDE LABORATORIES PLC V. UNION MERCHANT BANK LIMITED & OTUNBA OLUTOLA SENBORE

ONNOGHEN JSC (Delivering the Lead Judgment): This appeal is against the ruling of the Court of Appeal, holden at Lagos in an application No. CA/L/392M/2001 praying the court for an order for stay of execution/injunction delivered on 18 December 2002 in which the court dismissed the application.

The facts of this case include the following:

By a Deed of Mortgage Debenture between appellant and 1st respondent at pages 40 - 66 of the record entered into on 21 May 1999,appellant mortgaged/charged all its movable property contained in the schedules thereto to the 1st respondent as security for appellant’s indebtedness to the said 1st respondent. Upon the failure/neglect of appellant to settle its said indebtedness, 1st respondent appointed 2nd respondent as a receiver/manager over the appellant vide the deed of appointment of receiver on 11 June 1999 - see pages 67 - 69 of the record.

On 5 July 1999, the 1st respondent filed an originating summons in suit No. FHC/L/CS/777/99 at the Feder…