STAY OF COURT PROCEEDINGS PENDING ARBITRATION: AN ANALYSIS OF SECTION 4 AND 5 OF THE ARBITRATION AND CONCILIATION ACT 1988
By
SERIKI ABIMBOLU AJOKE
MATRIC NUMBER. 14/68IN031
BEING A GRADUATE SEMINAR SUBMITTED TO THE FACULTY OF LAW,UNIVERSITY OF ILORIN, ILORIN , NIGERIA, IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE AWARD OF THE DEGREE OF MASTERS IN LAW (LL.M)
MAY, 2015
ABSRACT
Arbitration of dispute in Nigeria has become an established dispute settlement mechanism in the Nigerian legal system. Arbitration in essence implies the freedom of parties to choose, and not the compulsion to arbitrate disputes. Legislations exist in Nigeria which makes provisions for parties to submit their disputes to arbitration. Most of these laws are essentially strict in their approach. Some operate to circumscribe parties’ choice in relation to arbitration only, while others completely fetter parties’ freedom to choose not to arbitrate. The power of the court to stay litigation proceeding for commercial arbitration tribunals is universally recognized. Section 4 and 5 of the Arbitration and Conciliation Act 1988 , which contains two provisions for stay of proceedings. The two provisions regulate stay of proceedings pending arbitration. Stay of proceedings generally involves a temporary suspension of trial pending reference to arbitration as contained in the parties’ agreement or contract. The principle of stay of proceedings is applicable to prevent a party who tries to rush to court while ignoring his agreement with the other party. The court proceeding would therefore be stayed pending arbitration. However, this paper contends...