Supreme Court Upholds Nestoil, Neconde's Legal Rights

On January 23, 2026, the Supreme Court of Nigeria ruled in favor of Nestoil and Neconde Energy, reinstating their right to appoint legal counsel in a $2 billion debt dispute. This decision overturned a prior appellate court ruling that disqualified their legal representatives, including Wole Olanipekun, SAN, and Muiz Banir, SAN.

The apex court affirmed that despite the ongoing receivership initiated by a consortium of banks, Nestoil and Neconde retain the right to choose their legal counsel to challenge the receivership. The court highlighted a conflict of interest in allowing the receiver's counsel to represent the companies, which could undermine fair legal representation.

The Supreme Court's judgment emphasized that the companies' board, led by Ernest Azudialu-Obiejesi, has the authority to appoint counsel to defend their interests. The case will return to the Court of Appeal to resolve preliminary issues regarding legal representation before proceeding to the merits of the underlying debt claims.