Capital Oil Plc slams N1bn suit on Ifeanyi Uba

Capital Oil Plc who deals in petroleum products has slammed N1billion suit on a Nigerian businessman, Chief Ifeanyi Uba and his company, Capital Oil and Gas Industries Limited over an alleged unlawful use of part of its company’s registered name “Capital Oil” despite repeated pleas and warning by the plaintiff and directive from the Corporate Affairs Commission (CAC).

In a statement of claim filed before a federal high court in Lagos, Southwest Nigeria by a Lagos-based lawyer Chioma Okwuanyi, Capital Oil Plc stated that it became aware of the existence of Capital Oil and Gas industries Ltd when correspondence meant for the company were delivered to it and upon inquiry it discovered that the company engages in the business of dealing in petroleum products which is the same line of its business,

The plaintiff (Capital Oil) notified CAC of the error in registering Capital Oil and Gas industries Ltd.

Thereafter CAC directed the company to change its name within six weeks, but the defendant refused to do so. When the confusion between the two companies became unbearable, the plaintiff dragged the defendant to court.

The suit was settled by a consent judgement, whereby Capital Oil and Gas industries paid N100 million to the plaintiff to remove Capital from its name however the money was refunded when it was discovered that the board of Directors of Capital Oil company was not carried along in the purported settlement which the company accepted.

Thereafter Capital Oil and Gas Industries sought the order of the court to compel the plaintiff to enforce the said consent judgement but Justice Okechukwu Okeke after review of the facts of the case absolved the plaintiff of any breach of the consent judgement, in the sense that, since the defendant accepted the money refunded by the plaintiffs, the judgement has been repudiated.

Capital Oil and Gas industries and Ifeanyi Uba never appealed the judgement.

Thereafter, the defendant agreed for the sum of N230 million as settlement but the defendant refused to make any payment.

Sometimes in 2013, the plaintiff received several calls from its clients who demanded to know how the plaintiff had been engrossed in huge indebtedness that led to the take over of the management of the company by Asset Management Corporation of Nigeria (AMCON).

This embarrassed the plaintiff and tore its goodwill to shreds.

The plaintiff in a letter to AMCON explained the lingering issues between the plaintiff and the defendant company but AMCON did not reply.

Consequently, the plaintiff now seeks the following declarative order of the court:

– An order that the defendants continuous use as part of its registered name “Capital Oil”and Gas industry Limited is an infringement on the right of the plaintiff and amounts to passing off.

– An order directing Corporate Affair Commission to cancel the Certificate of registration issued to Capital Oil and Gas industries Ltd.

– An order directing Ifeanyi Uba and his company Capital Oil and Gas industries Limited to pay to the plaintiff the sum of one billion naira as damages for passing off and the unlawful use and continuous use as part of its name the plaintiff’s registered name “Capital Oil” despite repeated pleas and warning and directives by the plaintiff and corporate Affairs Commission.

– An order directing Ifeanyi Uba and his company Capital Oil and Gas Limited to pay to the plaintiff the sum of one million naira as the cost of this legal action.

The case has been adjourned for his hearing.