Court Takes Action Over Suit on 2 Firms as Details Emerge
- FHT Mega Express's ₦7.1 billion suit against Parallex Bank was dismissed for abusing court process
- Court awarded ₦500,000 costs to Parallex Bank, highlighting issues of forum shopping
- Ruling strengthens judiciary's stance against duplicative litigation in commercial disputes
The Federal Capital Territory High Court has dismissed in its entirety a suit filed by logistics firm FHT Mega Express Limited against Parallex Bank Limited in which the company claimed ₦7.1 billion in damages.
Delivering judgment on 20 April 2026, the court upheld the bank’s preliminary objection and ruled that the case constituted an abuse of court process.
Source: Twitter
The court also awarded ₦500,000 in costs against FHT Mega Express in favour of Parallex Bank.
Court upholds abuse of process objection
Parallex Bank had asked the court to strike out the suit, arguing that it duplicated an existing case already before the High Court of Lagos State involving the same parties and subject matter.
The bank maintained that FHT Mega Express had previously initiated similar proceedings in other jurisdictions, which it described as “forum shopping”.
The court agreed, holding that the action amounted to a gross abuse of judicial process and should not be sustained.
Background to banking dispute
The dispute reportedly stems from a ₦4.5 billion debt allegedly owed by FHT Mega Express to Parallex Bank, arising from Letters of Credit used to finance import transactions worth several millions of euros.
Parallex Bank had earlier filed Suit No. FHC/L/CS/1774/2025 at the Federal High Court in Lagos seeking recovery of the debt, with Justice Lewis Allagoa ordering all parties to maintain the status quo pending determination of the case.
Allegations of multiple filings and concealment
The bank accused FHT Mega Express of filing multiple suits across different courts and allegedly concealing key facts from the Abuja court.
These, according to Parallex Bank, included the existence of the Lagos Federal High Court case, the subsisting order to maintain status quo, and the company’s failed attempts to secure similar interim reliefs in Lagos State.
The bank argued that these omissions misled the court into granting ex parte orders freezing its funds at the Central Bank of Nigeria up to ₦7.1 billion.
Court condemns parallel litigation strategy
In its ruling, the court held that FHT Mega Express acted in bad faith by instituting parallel proceedings on the same subject matter in different jurisdictions.
It stressed that litigants must not engage in multiple filings to gain procedural advantage, describing the conduct as an abuse of court process.
Bank hails ruling as victory for rule of law
Sources within Parallex Bank Limited described the judgment as a major win for due process and judicial integrity.
They said the ruling reaffirmed the bank’s commitment to transparency, corporate governance, and lawful dispute resolution.
Legal observers highlight wider implications
Legal analysts said the decision reinforces the judiciary’s position against forum shopping and duplicative litigation in commercial disputes.
They added that the ruling is likely to serve as a reference point in future banking and debt recovery cases, particularly those involving multiple filings across jurisdictions
Source: Legit.ng
