sp_doing business in nigeria updated.pdf
TRANSCRIPT
STRACHAN PARTNERS 3
A. INTRODUCTION 7
1. General overview 7
2. Sources of Nigerian Law 9
3. Political system 10
4. Economic Outlook 10
5. International relations 14
B. LEGAL AND REGULATORY REGIME 15
1. Key laws and regulatory agencies 15
2. Foreign exchange control 18
C. KEY AUTHORISATIONS AND APPROVALS AND 19
OTHER RELATED MATTERS
1. Incorporate a separate entity 19
2. Foreign investment approvals 20
• BusinessRegistration
(Certificateof Registrationof CompanywithForeignParticipation)
• BusinessPermit
• ExpatriateQuotaApproval
• ResidentPermitsandVisas
• Certificateof CapitalImportation
• NationalOfficeforTechnologyAcquisitionandPromotioncertification
3. Sector-regulator approvals 22
4. Taxregistration 22
5. Miscellaneous – opening a bank account 22
D. LEGAL PROTECTION FOR FOREIGN INVESTORS 23
E. NIGERIAN CONTENT POLICY IN THE 25
OIL & GAS INDUSTRY
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F. OTHER PROTECTIONS - INTELLECTUAL PROPERTY 29
1. TheTrademarksAct29
2. ThePatentsandDesignsAct29
3. TheCopyrightAct 30
4. Priority of registration 30
5. Judicial Interpretation of IP Laws 30
G. FISCAL INCENTIVES 31
1. Pioneer Status 31
2. Export Incentives 32
3. TaxIncentives 32
4. Taxrelief forResearchandDevelopment 32
5. TheDebtConversionProgramme32
6. ApprovedUserScheme 33
7. TheDutyDrawbackScheme 33
8. DownstreamGasSub-sector 33
9. Export processing zones 33
10. DoubleTaxationTreaties 34
H. FISCAL REGIME – ADMINISTRATION OF TAXES 35
1. CompaniesIncomeTax
2. CapitalGainsTax 36
3. ValueAddedTax 36
4. PersonalIncomeTax 36
5. EducationTax 36
6. StampDuties 36
7. WithholdingTax 37
8. CustomsandExciseDuty 37
9. InformationTechnologyDevelopmentLevy 37
10. Contributions 37
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I. NIGERIAN EMPLOYMENT LAW 40
1. Outline of Nigerian employment law 40
2. Collective agreements with trade unions 42
J. DISPUTE RESOLUTION 43
1. Thecourtsystem 43
2. Alternativedisputeresolution–arbitration 44
3. Enforcement of foreign judgments 44
K. CONCLUSION AND RECOMMENDATION 45
L. STRACHAN PARTNERS 46
1. Firm Overview 46
2. Key areas of expertise 47
3. Rankingandinternationalrecognition 48
4. Contact information 50
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1. INTRODUCTION
1. General overview of Nigeria
NigeriaislocatedinWestAfricaontheGulf of GuineabetweentheRepublic
of BeninandCameroon.ItsharesitslandborderswithCameroonintheeast,
Nigerinthenorth,Republicof Benininthewest,andChadinthenortheast,
anditscoastinthesouthliesontheGulf of GuineaontheAtlanticOcean.
ThecountrybecameanindependentStateon1stOctober,1960,havingbeing
colonizedbyBritainin1861.Itisamulti-lingualsocietywithover250languages.
The3majorlanguagesspokeninNigeriaareHausa,IgboandYoruba,while
theofficiallanguageisEnglish.ThemainreligionsareChristianity,Islam,and
indigenousbeliefs.ThelatestdatapublishedbytheNationalBureauof Statistics
in 2011 on the national population of the country puts the total population of
Nigeriaat164million.ThelargestpopulationconcentrationisinLagoswhich
is also where most of the economic and industrial activity takes place in. Other
majorcitiesandindustrialcentresincludePortHarcourt,Onitsha,Kano,and
Aba.Thefederalcapitalterritoryof NigeriaislocatedinAbuja.
SECTION A
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Thecountry’snaturalresourcesincludenaturalgas,petroleum,tin, iron,ore,
coal,clay,limestone,niobium,lead,zinc,bitumen,bauxiteandfertilearableland.
Agricultureisanimportantcomponentof theeconomyandthecultivationof
cashcropslikecocoa,peanut,palmoil,rubber,isextensivelyexploited.
Thecountry’smonetaryunit isNaira(N).Thecurrentofficialexchangerate
publishedbytheCentralBankof Nigeriaasof 22September,2014is=N=
199.55toEUR1.00,=N=253.67toGBP£1.00and=N=155.25toUS$1.00.
Nigeriantimeisonehouraheadof theGMT.
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2. Sources of Nigerian law
Nigeria can be described as falling within what is generally called a “common
law”system.Morespecifically,thesourcesof Nigerianlaware:
a. TheConstitutionof theFederalRepublicof Nigeria,(ChapterC23)
Lawsof theFederation(“LFN”)of Nigeria2004(the“Constitution”).
TheConstitutionisNigeria’ssupremelawfromwhichallotherlaws
derive their validity;
b. Statutes passed by legislative bodies in Nigeria – i.e. the National
Assembly,whichmakeslawsfortheFederation,andwhichcomprises
of aSenateandaHouseof Representatives,andthevariousHouses
of Assemblywhichmakelawsforeachof Nigeria’s36States;
c. English Law comprising of the received English law (“Received
English Law”) and some English statutes made before October
1, 1960 thatwere extended toNigeria by an order-in-council.The
ReceivedEnglishLawcomprisesof:
• the Common Law of England;
• theDoctrinesof Equity;
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• Statutesof GeneralApplication inforce inEnglandonJanuary
1,1900.
d. Customary law of the various communities in Nigeria, including
Islamic Law which is accepted as the customary law of various
communities in the Northern part of the country; and
e. JudicialPrecedents. Nigeria, likemostcommonlawcountrieswith
ahierarchicalsystemof courts,operatesasystemof bindingjudicial
precedent where the decisions of a higher court are binding on the
courts that are lower in hierarchy.
3. Political system
Nigeria isafederationmadeupof thirty-six(36)federatingstates,aFederal
CapitalTerritory(Abuja),andacentralgovernmentthatisreferredtoasthe
FederalGovernmentof Nigeria(the“FGN”or“FederalGovernment”).Each
State of the federation is in turn made up of local government areas.
Thereare,therefore,threetiersof governmentinNigeria,namely,federal,state
andlocalgovernments,witheachtierhavinglegislative,executiveand,inthe
caseof thefederalandstategovernments, judicialpowers,allocatedto itby
theConstitution.Theconstitutionisthesupremelaw,whichdistributespower
between the FGN and the federating States.
4. Economic Outlook
It is noteworthy that the attributes that make the Nigerian economy a good
destinationforinvestmentincludethefollowing:
a. Democratic Government: The country has a stable democratic
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government having now had democratic elections every 4 years since 1999.
b. Large Population: With a population size of over 164 million people and a
hugedomesticmarket,thereareinvestmentopportunitiesindiversesectors
of the economy such as agricultural; oil and gas; banking; manufacturing;
construction; transportation; information technology; telecommunications
sectors etc. There is growing consumerism resulting primarily from the
rapid expansion of the middle class with increased spending power.
c. Abundant Natural Resources: The country has abundant mineral,
agricultural and human resources that have yet to be fully utilized. It
is noteworthy that Nigeria is the biggest oil exporter in Africa, with
the largestnatural gas reserves inAfricawhichare still yet tobe fully
exploited.
d. Investment Incentives:The countryprovides attractive incentives to
encourage foreign investment.
Therearetaxholidaysforpioneercompaniesthatestablishnewindustries
or expand production in important sectors of the economy (please refer
tosectionF1).Alsonon-taxincentivesaregrantedtonon-pioneerfirms
(pleaserefertosectionF3).
A company grantedpioneer status is not required towithhold tax on
dividendspaidtoitsshareholdersduringthisperiod,andpersonsmaking
payments to the companywill not be required to deductwithholding
tax when they are making payments for services rendered to them by a
pioneer company. Losses made by the company during the tax holiday
can be carried forward indefinitely after the expiry of the 5 year tax
holiday and the company can also offset capital allowances in respect
of qualifying capital expenditure incurred by the company during the
tax holiday. Any unutilized allowances may also be carried forward
indefinitely.
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Therearealsoexportincentivestomanufacturingexportersaimed
at encouraging and assisting the exporters to increase and diversify
thetotalvalueandvolumeof non-oilexportsfromthecountry.The
incentives are designed to address themajor problemsof supply,
demandandpricecompetitivenessof Nigeria’sexportandinclude
theExportDevelopmentFund,theExportExpansionGrantFund,
theExportAdjustmentSchemeFund,theDuty-Draw-backScheme,
theDutySuspensionSchemeandtheManufacture-in-BondScheme
(pleaserefertosectionF2).
Other incentives include the creation of export processing zones
for special development purposes, where manufacturing can be
undertaken under conditions that exempt entities operating within a
zonefromallFederal,StateandLocalGovernmenttaxes,leviesand
rates(pleaserefertosectionF9).
e. Infrastructure: Government infrastructure spending has increased
in the recent past and the federal government and state governments
are developing their infrastructure using public and private
partnership mechanisms.
f. Labour Force: Nigeria has a reasonably well educated labour force
and the cost of labour is relatively low.
Themajor economic risks that investors have however encountered in
thepastfewyears,however,consistof thefollowing:
a. infrastructural constraints; and
b. Corruption,whichhasbeenacknowledgedasthesinglemost
important factor militating against economic progress and democracy
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in Nigeria.
Investorsshouldalsobeawareof thedevelopmentsinthefollowingsectors:
i. The Petroleum Industry
ThefederalgovernmenthasintroducedaPetroleumIndustryBill(the“PIB”)
totheNationalAssemblywithaviewtohavingitpassedintolaw.Itisexpected
that this legislation will revise, update and consolidate current petroleum
legislation in Nigeria, and also provide additional incentives for companies
operating in the oil and gas industry. · Nigerian Oil and Gas Industry Content
DevelopmentAct (‘LocalContentAct’):TheLocalContentActwassigned
into lawbyNigeria’sPresidenton22ndApril2010.Thegeneralphilosophy
of theAct is to increase and, in certain cases, tomake exclusive,Nigerian
participation and the use of Nigerian resources in the Nigerian oil and gas
industry.
ii. The Power sector
The Federal Government is currently implementing reforms in this sector
through the Electric Power Sector Reform Act and the institution of the
PresidentialTaskForceonPower.TheElectricPowerSectorReformActwas
passed into law in 2005 to allow private companies to invest in and operate
power companies in Nigeria. Prior to the enactment of the Electric Power
SectorReformAct(“EPSRAct”)inMarch2005,theFederalGovernmentof
Nigeriawaswhollyresponsibleforpolicyformulation,regulation,operation,
and investment in the Nigerian electric power sector.
TheEPSRActalsoprovidesforthecreationof institutionsrequiredtoprotect
consumers and stimulate investment in a power sector market with competing
firms.
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5. International relations
Nigeria is a member of several international, regional, and sub-regional
organizations,which includes theUnitedNations (“UN”)andseveralof its
special and relatedagencies,WorldTradeOrganization (“WTO”), theNon-
AlignedMovement,AfricanUnion(“AU”),TheCommonwealthof Nations,
Organization of Petroleum Exporting Countries (“OPEC”), International
Maritime Organization and other organizations. It is also a member of the
Economic Community of West African States (“ECOWAS”), which seeks
to harmonize trade and investment practices for itsWest AfricanMember
countries and ultimately to achieve a full customs union. Nigeria has also has
consistently committed itself to the cause of peacekeeping.
NigeriahasalsoenteredintoBilateralInvestmentAgreements(“BITs”)witha
number of countries.
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LEGAL AND REGULATORY REGIME
1. Key laws and regulatory agencies
TheprincipalstatutesthatgovernforeigninvestmentinNigeriaareas
follows:
a. Companies and Allied Matters Act (Chapter C20), LFN 2004
(“CAMA”)
Thisistheprincipalstatuteregulatingtheestablishmentandoperation
of companiesinNigeria.TheCAMAestablishestheCorporateAffairs
Commission (“CAC”) asNigeria’s companies’ registry, and the body
responsible for the regulation and supervision of the formation,
incorporation,registration,managementandwindingupof companies.
TheCAMAalsomakesprovisionfortheregistrationof businessnames
and the incorporation of trustees.
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Foreign companies thatwish to do business inNigeria are required to
do so through a separate locally incorporated entity. Section 54(1) of
theCAMAprovides that every foreign company intending to carry on
business in Nigeria must take steps necessary to incorporate as a separate
legal entitywith theCAC.Section56of CAMAempowers theFederal
Executive Council to grant exemptions from the mandatory incorporation
requirementtoalimitedcategoryof foreigncompanies.Itisanoffence
for a foreign company to carry on business in Nigerian without being
formally incorporated.
b. Nigerian Investment Promotion Commission Act (Chapter N117),
LFN 2004 (“NIPC Act”)
The NIPC Act established the Nigerian Investment Promotion
Commission (“NIPC”) as an investment promotion agency of the
Federal Government, responsible for registering foreign investments
inNigeria. TheNIPCoperates as a “one-stop shop” for thegrantof
businesspermits,licensesandincentivesthatforeigninvestorsrequireto
do business in Nigeria.
c. Immigration Act, (Chapter I1), LFN 2004 (the “Immigration Act”)
Any foreigner wishing to take up employment in Nigeria (other than
employmentwiththefederalorastategovernment)isrequiredbySection
8(1)of theImmigrationAct,tohavearesidencepermitoraworkpermit
issued by the Comptroller General of Immigrations. Such persons are
alsorequiredundersection9of theImmigrationActtoapplyforvisasat
theappropriatediplomaticNigerianMissionabroad.Therequiredvisas
couldbeeitheraSubjecttoRegularizationvisaoraCombinedExpatriate
ResidencePermitandAlienCard(CERPAC).
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d. Foreign Exchange (Monitoring and Miscellaneous Provisions) Act,
(Chapter F34), LFN 2004, (the “FEMM Act”)
The FEMM Act sets out the rules and regulations which govern the
operation of the foreign exchange market and provides a framework for
the remittance of interest, dividends andprincipal payments in foreign
currency by foreign investors.
e. Investment and Securities Act No. 29 of 2007 (the “ISA”)
TheISAgovernsinvestmentsinthecapitalmarketsgenerally,andprovides
for the establishment of the Securities and Exchange Commission (the
“SEC”)astheapexregulatoryauthorityfortheNigeriancapitalmarket.
Also relevant are the Securities and Exchange Commission Rules and
Regulations(the“SECRules”),whicharemadebytheSECpursuantto
powerswhich ithasbeengrantedbytheISAtoregulatecapitalmarket
activities and operators, includingmergers, acquisitions, take-overs, and
collective investment schemes.
f. The Industrial Development (Income Tax Relief) Act, Chapter I7
LFN 2004 (“Tax Relief Act”)
TheTaxRelief Actisthebasisforthegrantof PioneerIndustryStatus
(or“PioneerStatus”).
g. Central Bank of Nigeria Act, Act, No. 7 of 2007 (“CBN” Act”)
TheCBNActestablishedtheCentralBankof Nigeriaandconferredupon
ittheroleandresponsibilityastheapexregulatorof banks,thefinancial
system as manager of Nigerian’s foreign currency reserve. The CBN’s
majorfunctionistopromoteanefficientandeffectivefinancialsystemin
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Nigeria and to act as banker to the Federal and State governments and also
tootherbanks.TheCBNalsoprovideseconomicandfinancialadviceto
the Federal Government.
2. Foreign exchange control
Nigeria’sforeignexchangecontrolregulationsarecontainedintheFEMMAct
(seesectionB1(d)above)andinregulationsissuedbytheCBNfromtimeto
time.TheFEMMActplacesnorestrictionsontheinflowof foreigncurrency
but requiresAuthorizedDealers (i.e.banks thatare licensedby theCBNto
dealinforeignexchange)tonotifytheCBNof anycashtransferstoorfrom
aforeigncountryof anysumexceedingUS$10,000(tenthousandDollars)or
itsequivalent.
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KEY AUTHORISATIONS AND APPROVALS AND
OTHER RELATED MATTERS
1. Incorporate a separate entity
The principal legislation that governs the registration and activities of
companiesinNigeria istheCompaniesandAlliedMattersActChapterC20
Lawsof Federationof Nigeria2004(“CAMA”).TheCAMArequiresaforeign
company,which intends to do business inNigeria, to be incorporated as a
separate entity in Nigeria for this purpose or to operate subject to an exemption
grantedtoitbytheFederalGovernmentof Nigeria.Theexemptionisusually
grantedforspecificgovernmentrelatedprojects.
Foreign ownership of a Nigerian company
By virtue of the provisions of the Nigerian Investment Promotion
CommissionAct,CapN117,LFN2004 (the“NIPCAct”) it ispossible for
foreign investors toown100%of theequityof a limited liability company.
Accordingly, there is no requirement that the company to be established in
SECTION C
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Nigeria should have Nigerian shareholders and other than certain matters set
outinthe“negativelist”,andregulatedsectorslikethebroadcastingandoiland
gassectors,aNigeriancompanythatis100%foreignownedmayengageinthe
same businesses as a Nigerian company that is wholly or partially owned by
Nigerians.Thereareareasof businessthatareprohibited-“thenegativelist”.
2. Foreign Investment Approvals
2.1 Business Registration (Certificate of Registration of Company with
Foreign Participation)
In order for a company registered in Nigeria with foreign shareholders to do
businessitmustregisteritsbusiness.TheNIPCActprovidesthatallcompanies
with foreign participation in their capital structure should register with the
NIPC after they are incorporated.
2.2 Business Permit
Followingtheregistrationof thebusinessattheNIPC,acompanyregistered
inNigeriawithforeignshareholders,mustapplyforabusinesspermitinorder
todobusiness.Abusinesspermitistheauthorisationthatmustbeobtainedin
order for the company to carry on business in Nigeria.
2.3 Expatriate Quota Approvals
Wherethecompanyintendstoemployexpatriates,itmustapplyforexpatriate
quotapositionsfortherelevantnumberof expatriatepersonnelitintendsto
employ.Anexpatriatequotaistheauthorisationthatestablishesthemaximum
number of expatriates that a company may employ.
2.4 Resident permits and visas
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Afterthegrantof theexpatriatequotapositions,theexpatriateemployeesof
thecompanyplacedonthequotapositionswillneedtoobtainaSubject-To-
Regularisation(STR)visafromtheNigerianEmbassy/HighCommissionin
their country of usual residence to enable them to come into Nigeria for the
purpose of taking up employment.
2.5 Certificateof CapitalImportation(“CCI”)
Nigerian law permits foreign investors to purchase any amount of foreign
exchange for the purpose of remitting e.g. dividends and repatriating capital in
theeventof adisinvestment,subjecttoprovidingappropriatedocumentation.
Oneof suchdocumentsistheCertificateof CapitalImportation(the“CCI”))
required tohavebeenobtained fromanauthorizeddealer (aNigerianbank
orfinancial institutionauthorizedby theCentralBankof Nigeria toengage
inforeignexchangeactivities)asevidencethatithasactuallybroughtcapital/
funds into Nigeria at the time that the funds were brought in e.g. for making its
equitycontributiontoaNigeriancompany.TheCCIisnecessarytorepatriate
royalties,feesanddividends.
2.6 NationalOfficeforTechnologyAcquisitionandPromotion(“NOTAP”)
certification
If aforeigncompanyintendstoprovidetechnology,managementortechnical
assistancetoaNigerianentity,itwillbeadvisablefortheforeigncompanyto
enter into a technical services, training ormanagement agreementwith the
Nigerian company.This agreementwill have tobe registeredwithNOTAP
in accordance with the provisions of the National Office for Technology
AcquisitionandPromotionActLFN2004(the “NOTAP Act”).
22 STRACHAN PARTNERS
3. Sector – regulator approvals
In addition to the authorizations and approvals discussed above, there are
sector approvals required in order to carry on business in those sectors,
suchasbutnotlimitedtobanking,securities,oilandgas,aviation,insurance,
telecommunication,manufacturingof foodandbeveragesandthehospitality
sectors.Intheoilandgasindustry,forinstance,approvalsarerequiredfrom
theDepartmentof PetroleumResources-whichregulatestheNigerianoiland
gas industry,andtheNigerianContentDevelopmentandMonitoringBoard
(the“NCDMB”)–whichisthebodythatisresponsiblefortheimplementation
of theprovisionsof theLocalContentAct.
4. Tax Registration
AcompanyincorporatedinNigeriaisrequiredtoberegisteredwiththerelevant
taxauthoritiesfortaxpurposes.Followingtheincorporationof thecompany,
anapplicationismadetoapplicabletaxofficerequestingtheissuanceof atax
clearancecertificateandvalueaddedtax(“VAT”)registration.
5. Miscellaneous – opening a bank account
Althoughthereisnolegalrequirementtodoso,forpracticalpurposes,itwill
be advisable for the local company to open an account with a Nigerian bank.
For instance, any capital in the form of cash that will be injected into the
localcompanybyanyoffshorepartnersthroughtheofficialforeignexchange
marketwillneedtobepaidintoabankaccountheldwithaNigerianbank,and
assuchitwouldbeneater(andcreateaproperdocumenttrail)if thosefunds
will be paid directly into an account held in the name of the local company.
Oncethelocalcompanyisincorporated,theprocessof openinganaccount
withaNigerianbankshouldbequitestraightforward.
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LEGAL PROTECTION FOR FOREIGN INVESTORS
There are various levels of legal protection for foreign investors. Nigerian law
provides for compensation in the event of expropriation.
UnderNigerian lawnomovablepropertyor interest inany immovableproperty
may be compulsorily acquired except in accordance with a law which, among
otherthings,requirespromptpaymentof compensationandgivestoanyperson
claiming such compensation the right of access to a court of law or tribunal having
jurisdiction in the relevant part of Nigeria in order to obtain a determination of
therightandtheamountof compensationpayable.Thisrightappliesnotjustto
Nigeriancitizens,butalsotoanypersonowningorhavinganinterestinproperty
in Nigeria.
TheGovernmenthasalsoshownawillingnesstoenterintoinvestmentprotection
agreementswithprivateorganizationswishing to invest inNigeria, andhas also
entered into bilateral agreements to provide protection for foreign investors.
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InadditionNigerianlawprovidesforalargemeasureof capitalmobility,forthe
protection for intellectual property, for dispute resolution through arbitration as
wellasinnationalcourts.Allthesearerightsthatareavailabletoaforeigninvestor
on a non-discriminatory basis.
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SECTION E
NIGERIAN CONTENT POLICY IN THE OIL & GAS INDUSTRY
WithParticularreferencetooilandgas,aforeignconsortiumorajointventuremay
obtainqualificationacceptance,participatetotendersandthereaftercarryoutand
implement operations or transactions falling within the scope of the Nigerian oil
and gas industry. It is necessary to demonstrate local shareholding and compliance
with the Nigeria local content policy applicable to the oil and gas industry.
Foreaseof understanding,wehavebrokenthischapter intotwoparts; (i)Local
contentpolicy(ii)LocalShareholding.
(i) Local Content Policy
The Nigerian Oil and Gas Industry Content Development Act, 2010 (the
“ContentAct”)providesthelegalbasisforthedeterminationof localcontent
compliance of companies operating Nigerian oil and gas industry (“the
Industry”).Thelocalcontentpolicydriveof theNigeriangovernmentisaimed
primarily at building local competencies in the Industry by ensuring indigenous
participationthroughtheprovisionof manpower,servicesandtheownership
of interestsintheIndustry.Tothisextent,theContentActplacesemphasison
the promotion of “Nigerian Content” among companies bidding for contracts
in the Industry.
26 STRACHAN PARTNERS
Highlights of Content Act
Followingoursummaryof thethrustof theContentActabove,wehavesetouta
synopsisof themajorhighlightsof theContentActasfollows:
•Alloperatorsandalliancepartnerstomaintainabiddingprocessforalljob
offers and the bid selection process shall not be based solely on principle of
thelowestbidderbutshall,wherethebidsarewithin1%of eachotheratthe
commercialstage,beconsideredwithpreferenceforthebidwiththehighest
Nigerian content.
•Whereapplicableorwheredirectedby theBoard, theoperator shallprior
tocommencingwork, establishaprojectoffice in theareawhere the job is
tobeexecutedandsuchprojectofficeshallhavestaff withdecision-making
authorityandtheBoardshallensurereasonablenumberof personnelfromthe
significantareasof operationof thecompanyaremaintainedbytheoperator
togetherwitha requirement thatNigeriansshallbegivenfirstconsideration
for employment and training in any project executed by any operator in the
Industry.
•OperatorsareencouragedtotrainanddevelopaNigerianlabourforceforits
operationsandallexpatriatepositionsshallafteramaximumfour-yearperiod,
be occupied by a Nigerian albeit that a maximum of 5% of management
positions may be reserved for protecting investor interests albeit that any
applicationforexpatriatequota forsuchpositionsmustbepre-approvedby
theBoard.However,staffinginthejuniorandintermediatecadreoranyother
corresponding grades shall be held exclusively by Nigerians.
• International/multinational companies working through their Nigerian
subsidiaries must demonstrate that a minimum of 50% of the equipment
deployed for execution of work are owned by Nigerian subsidiaries.
STRACHAN PARTNERS 27
•Allinsurablerisksrelatedtooilandgasbusiness,operationsorcontractsare
requiredtobeinsuredthroughinsurancebrokersregisteredinNigeria.
• Only services of Nigerian legal practitioners would be permitted to be
retained by companies in the Industry.
• Except where impracticable only Nigerian financial institutions shall be
retained by companies in the Industry;
•Theconductof anyprojectcontrarytotheprovisionsof theContentActis
anoffenceforwhichtheoperatorwouldbepunishablebyafineof 5%of the
value of the contract or a cancellation of the project.
•Afiscalframeworkandtaxincentivesaretobeputinplaceforforeignand
indigenous companies that establish facilities, factories, production units or
other operations in Nigeria for providing support services to the Industry.
•1%of everycontractawardedistobedeductedatsourceforthefundingof
theNigerianContentDevelopmentFund.
(ii) Local Shareholding
TheContentActdoesnotprovideanythresholdof sharecapitaldistribution
as one of the Parameters. The Content Act however provides a definition
of a Nigerian Company as “a company formed and registered in Nigeria in
accordancewiththeprovisionof theCompaniesandAlliedMattersActwith
not less than 51% equity shares [held] byNigerians”.Notably, theContent
Actdoesnotindicatethatitwouldbeageneralrequirementforeligibilityin
respect of any company desirous of operating in the Industry to be a Nigerian
Company,eitheratcontractbiddingorcontractexecution.
28 STRACHAN PARTNERS
It is however worth mentioning that the Content Act vests exclusivity for
certain contracts and services in the Industry on Nigerian indigenous service
companies,where suchNigerian indigenous service companiesdemonstrate
ownershipof equipment,(Nigerian)personnelandcapacitytobidforcontracts
and services on land and swamp operating areas of the Industry.
Consequently,acompanyoperating in theIndustrywouldbe incompliance
withtheContentActwhere:(i)itsoperationsmeettherequisiteParameters;
and(ii)atleast51%of itssharesareheldbyNigerians.
STRACHAN PARTNERS 29
OTHER PROTECTIONS - INTELLECTUAL PROPERTY
Intellectual property rights are protected under statute and judicial decisions.
1. Trademarks
TheTradeMarksActChapterT13,LFN2004 regulates the registrationof
trademarks in Nigeria.
2. Patents & designs
PatentsandDesignsaregovernedbytheprovisionsof thePatentandDesigns
ActChapterP2LFN2004.TheActprovidesthatanindustrialdesignmust
beregisteredbythe issueof aregistrationcertificatecontainingthenumber
of thedesign,thenameandaddressof theregisteredowner,thedateof the
applicationandof issueof thecertificate,detailsof anypriorityclaim,if any,a
reproduction or representation of the design and an indication of products for
whichitwillbeused,andthenameandaddressof thetruecreator.
SECTION F
30 STRACHAN PARTNERS
3. Copyright
CopyrightsinNigeriaaregovernedbytheCopyrightAct,ChapterC28LFN,
2004,(the“Copyright Act”).Generally,theCopyrightActprovidesthatthe
followingworksareeligibleforcopyrightinNigeria:literary,musical,artisticand
cinematographworks,soundrecordingsandbroadcasts.Thislistisconclusive
andassuch,copyrightcannotsubsistinanyothercategoryof works.
4. Priority of registration
Nigeria is a party to the International Convention for the Protection of
Industrial Property 1883, as amended (the Paris Convention). The Paris
Convention has been incorporated into local law in the case of patents and
industrialdesigns.Thismeansthatif X’scountryof origin/registrationisalso
apartytotheParisConvention,andif Xseekstofileanapplicationforapatent
oranindustrialdesign,itwillenjoyarightof priorityforaperiodof 12months
from the date on which it made an application for the registration of such a
patent or design in a Convention Country.
TheParisConventionhasnotbeenincorporatedintolocallawinthecaseof
trademarks.Consequently,althoughasamatterof lawnopriorityoughttobe
accordedinrespectof priorfilingsinaConventionCountryinpractice,the
Registrarof Trademarksaccordsprioritytosuchpriorfilings.
5. Judicial Interpretation of IP Laws
ThecourtsinNigeriahaveheldthat“‘trademark’,whenregistered,willentitle
the proprietor to sue or institute an action for any infringement of the trade
mark” and “registration entitles the proprietor to the exclusive use of the trade
mark and also the right to sue for passing off the goods of the proprietor”.1
STRACHAN PARTNERS 31
FISCAL INCENTIVES
Duly incorporatedNigeriancompaniescanparticipate inanumberof programs
andtakeadvantageof certainincentives,someof whichhavebeendesignedwith
the foreign investor in mind.
1. Pioneer Status
AcompanyhavingPioneerStatusisexemptfromcorporateincometaxand
education tax foranon-renewablefive-yearperiod. Thecompanywillnot
berequiredtodeductwithholdingtaxondividendsduringthisperiod,and
personsmakingpaymentstothecompanywillalsonotberequiredtodeduct
withholding tax when they are making payments for the services. Losses
made by the company during the tax holiday can be carried forward for a
period of up to four years beginning from the date following the expiry of the
5-year period and the company can also offset capital allowances in respect of
qualifyingcapitalexpenditureincurredbythecompanyduringthetaxholiday
againsttheassessableprofitforthetaxyearfollowingthe5yeartaxholiday.
Anyun-utilizedallowancemaybecarriedforwardindefinitely.
SECTION G
32 STRACHAN PARTNERS
2. Export Incentives
An exporter can take advantage of the incentives provided in theExport
(Incentives and Miscellaneous Provisions) Act, Chapter E19, LFN, 2004.
ThisAct provides for the establishment of various funds thatmay prove
useful toanexporter,suchastheExportDevelopmentFund,whichhelps
coverthecostsof exportpromotionactivities,andtheExportAdjustment
SchemeFund,whichsubsidizesproductioncostsof Exports.Thereisalso
anExportCreditGuaranteeandInsuranceScheme,whichinsuresexporters
against various risks including political risk and the risk of payment defaults.
Therearealsoanumberof taxincentives,designedtoencourageexports.
3. Tax Incentives
Thereareotherbonusesandincentives-mainlyarisingfromtheprovisions
of theCompaniesIncomeTaxAct,2007(“CITA”)-thatareavailabletoall
companies.Applicableincentiveswilldependonthenatureof theforeign
investor’sproposedactivitiesinNigeria.
4. Tax relief for Research and Development
Profitsreservedbyacompanyforpurposesof researchanddevelopmentare
from tax provided such reserves do not exceed 10% of the total assessable
profits of that company. Companies and other organizations engaged in
research and development activities for commercialization are allowed a 20%
investmenttaxcreditontheirqualifyingexpenditureforthatpurpose.
5. The Debt Conversion Programme
Acompanymaywishto takeadvantageof theDebt toEquityconversion
programme to finance its investment inNigeria. Under this programme,
STRACHAN PARTNERS 33
the company would be permitted to redeem specified dollar-denominated
promissory notes and use the proceeds to finance the local costs of its
Nigerian projects.
6. Approved User Scheme
Manufacturersof certainitemsforwhichimportedrawmaterialsarerequired
maybegrantedeitheraconcessionaryrateof orcompleterelief from,import
dutyforaperiodnotexceedingthreeyears.Toqualifyforrelief theimporter
mustcomplywithcertainstatutoryrequirements.
7. The Duty Drawback Scheme
UnderthisSchemeimporterscanclaimarefundof importdutypaidongoods
usedtomanufactureproductsforexport.ThisSchemewassetupunderthe
CustomsandExciseManagementDrawback(Customs)Regulations,Chapter
C45,LFN2004.
8. Downstream Gas Sub-sector
TheCITAalsoprovidesspecificincentivesforcompaniesthatutilisegas.
9. Export processing zones
For special development purposes, the government has created export
processing zones where manufacturing can be undertaken under conditions
that exempt companies within a zone from all Federal, State and Local
Government taxes, levies and rates. This in effect means that companies’
income tax, value added tax, withholding tax, capital gains tax, customs
duties and all state taxes and local government taxes, levies and rates
will not apply to companies operating within an export processing zone.
34 STRACHAN PARTNERS
10. Double Taxation Treaties
AsnotedinsectionA1(5),Nigeriacurrentlyhasdoubletaxationagreements
withCanada,France,Belgium,Romania,Pakistan,theNetherlands,theUnited
Kingdom and the Czech Republic, allowing persons liable to tax in those
countries to obtain credit for any taxes paid in Nigeria.
STRACHAN PARTNERS 35
FISCAL REGIME – ADMINISTRATION OF TAXES
Theadministrationof tax inNigeria is vested in the three tiersof government.
TaxespayabletotheFederalGovernmentareadministeredbytheFederalInland
RevenueServiceBoard through itsoperational arm, theFederal InlandRevenue
Service (FIRS), while those payable to the StateGovernments are administered
by the Internal Revenue Boards of the thirty-six states of the Federation and
theFederalCapitalTerritoryof Abujathroughtheirrespectiveoperationalarms,
knownastheStateInternalRevenueService.LocalGovernmentsalsoadminister
taxescollectiblebythemthroughtheirvariouscouncils.StateBoardsapplyuniform
rules in respect of tax deductions and their activities are co-ordinated by the Joint
TaxBoard(JTB).
Severalcategoriesof taxarelevied.Thosethatarelikelytoproveof mostinterest
toaforeigninvestorarecompanies’incometax,personalincometax,capitalgains
tax,value-addedtax,educationtax,stampdutiesandthevariouswithholdingtaxes.
Other categories of tax include local government rates and levies. Penalties may be
imposed for failure to pay taxes when due.
Alltaxes,exceptforvalueaddedtax,stampduties,customsandexcisedutiesand
capitalgainstax,arecalculatedinaccordancewithataxyearthatrunsfromJanuary
1sttoDecember31stineachyear.Providedtaxesaredulypaid,ataxpayerwillbe
issuedaTaxClearanceCertificate.ThisCertificateconfirmsthatalltaxesdueinthe
threeyearsimmediatelyprecedingtheyearinwhichitisissuedhavebeenpaid.A
TaxClearanceCertificateisrequiredforvirtuallyallofficialtransactions.
SECTION H
36 STRACHAN PARTNERS
Key taxes chargeable in Nigeria, their application and rates:
Applicable tax Tax rateGoverning legislation
and comments
Companies Income tax/
Corporate tax30%of “adjustedprofit” CompaniesIncomeTaxAct.
Capital gains tax10% of gains realised upon disposal of a business asset
CapitalGainsTaxAct.Taxmaybe deferred if gains are used to purchasereplacementequipment
Value added tax (VAT)5% on the supply of goods
and servicesValueAddedTaxAct
Education tax 2%of assessedprofit EducationTaxAct
Stamp dutyVariesdependingonnature of the document to be‘stamped’
StampDutyAct.
Import/Customs duty5% or 25% of assessed value of the goods
Customs and Excise
ManagementAct.
Personal Income Tax
ChargeableProfit Income Rate of tax
First 300,000.00 7%
Next 300,000.00 11%
Next 500,000.00 15%
Next 500,000.00 19%
Next 1,600,000.00 21%
Above 3,200,000.00 24%
1. Stamp Duties
Stampdutyisataxondocuments,whichispayablebyvirtueof theStampDutiesAct,
(ChapterS8),LFN2004(the“Stamp Duties Act”).Therateof stampdutiesdepends
onthetypeof document.Someexamplesof stampdutylevelsareasfollows:
STRACHAN PARTNERS 37
Lease agreements 16kforevery=N=200.00(0.08%)
Mortgages 75kforevery=N=200.00(0.375%)
Incorporation of a Limited Liability Company
0.75% of the authorised share capital.
2. Withholding Tax
Nigerian’s tax lawsprovide for thewithholdingof tax frompaymentsdue to
anypersonorcompany(whetherornotresidentinNigeria)thatprovidesgoods
services to another person or company in Nigeria. Withholding tax is not a
separate category of tax but simply represents an advance payment of income
tax.
Please see the table below for the rates that are applicable to the various transactions.
Nature of payment Rate of tax
• Dividends,interestandrent 10%
• Royalties 10%
• Hireof equipment,motorvehicles,plantsandmachinery 10%
• Commission,consultancy,technicalandmanagementfees,legalfees,auditfees,andotherprofessionalfees 10%
• Construction 5%
• Alltypesof contractsandagencyarrangements,otherthansalesin
the ordinary course of business5%
Wheretherecipientof thedividends,interest,orrentsisanationalorcompany
fromacountrywithwhichNigeriahasadoubletaxationagreement,therateat
whichtaxwouldbewithheldfromthedividends,interestorrentswillbereduced
from 10% to 7.5%. In the case of non-resident companies the tax withheld from
dividends,interest,rentorroyaltypaymentsduetothemwill,whenremittedto
theFIRSberegardedasthefinaltaxduefromsuchnon-residentcompanies
38 STRACHAN PARTNERS
3. Customs and Excise Duty
TheCustomsandExciseManagementAct(“CEMA”)ChapterC44LFN2004
imposescustomsdutyonspecifiedimportedgoodsandempowerstheCustoms
andExciseManagementAuthoritytorestrictthemovementof goodsintoand
outof Nigeria.AnycompanyoperatinginNigeriaisliableunderCEMAto
paycustomsdutyonallgoodswhichitimportsintoNigeriaforitsoperations,
forhiringorforsale.Theratesrangefrom5%to30%,dependingonthegoods
imported.
4. Information Technology Development Levy
TheNationalInformationTechnologyDevelopmentAgency(“NITDA”)Act,
2007imposesonthecompaniesandenterpriseslistedintheAct,andwhich
haveanannualturnoverof =N=100,000,000(onehundredmillionNaira)and
abovea levyamounting to1%of theirprofitsbefore tax.TheNITDAAct
alsoempowerstheFederalInlandRevenueService(the“FIRS”)toassessand
collect the levy and where a company fails to pay the levy within 60 days of the
beingservedwithnoticeof anassessment,apenaltyof 2%willbeaddedto
thelevy.Inaddition,failuretopaythelevywillattractafineof notlessthan
=N=1,000,000(onemillionNaira)onconviction.
5. Contributions
Although not taxes in the proper sense, below are certain categories of
mandatorycontributionsthatwouldapplytoacorporateemployer/investor,if
it were to set up a local entity in Nigeria.
• Pension Contributions: The Pension Reform Act, 2014(“PRA”)
introduced a pension scheme whereby both employer and employee are
required to make a minimum of 10% and 8% respectively of the
employee’smonthlyemolumentstoaPensionFundAdministratorasa
contribution towards the employee’s pension upon retirement.
STRACHAN PARTNERS 39
Emoluments include all items that are paid on a monthly basis (in addition to
basic,housingandtransport)..Theschemeiscompulsoryforallprivatesector
employersthatemployfifteenormoreemployees.TheActstipulatesthatwhere
an employer chooses to bear full responsibility, the rate of employer’s
contribution a minimum of twenty percent.
• EmployeesCompensationDeductions:TheEmployeesCompensationAct2010
(the“ECA”),whichwassignedintolawon17thDecember,2010imposesan
obligation on employers in both the private and public sector to deduct 1% from
themonthlysalaryof theiremployees,andremitthedeductiontoanEmployees
CompensationFund,establishedundertheECAforthecompensationof any
death, injury, disease and disability of an employee arising out of or in the
courseof employment..TheECAgivestheNigeriaSocialInsuranceTrustFund
ManagementBoard(the“NSITFBoard”)thepowertoimplementthefund.
• NationalHousingFundDeductions:TheNationalHousingFundAct(Chapter
N45),LFN2004requiresanemployertodeductanamountequalto2.5%(two
andhalf percent)of themonthlysalaryof anyemployeewhoseannualsalary
isup to three thousandNaira (=N=3,000aboutUS$20.02) and to remit the
amountdeductedtotheNationalHousingFundastheemployee’scontribution
totheNationalHousingFund.TheActmakesitanoffenceforanemployerto
fail to remit the appropriate amount as prescribed. It is also an offence not to
complywiththeActandanemployerwillbeliableuponconvictiontopayafine
of fiftythousandNaira(=N=50,000aboutUS$333.62).
• IndustrialTrainingFundDeductions:EveryNigerian company that employs
5 or more employees or having less than 5 employees but with a turnover of
N50millionandaboveperannum,isrequiredbytheIndustrialTrainingFund
(Amendment)Act, 2011, to contribute 1%of its total annual payroll to the
IndustrialTrainingFundnotlaterthan1stAprilof everyyear.Section16of
theActdefines“Payroll”tomeanthesumtotalof allbasicpayallowancesand
other entitlements payable within and outside Nigeria to any employee in an
establishment,publicorprivate.
40 STRACHAN PARTNERS
NIGERIAN EMPLOYMENT LAW
1. Outline of Nigerian employment law
UnderNigerianlaw,therelationshipbetweenanemployerandanemployeeis
regulatedbytheCommonLawof contractasappliedbytheNigeriancourts,
andaraftof otherstatuteswhichinonewayortheother,affecttherightof
employees.Thesestatutesandotherlawsoperateagainstthebackdropof the
Constitutionof theFederalRepublicof Nigeria1999 (the“Constitution”)
andwillbevoidtotheextentthatanyof theirprovisionsconflictswiththe
provisions of the Constitution.
Theprincipalstatutesandlawsthatarerelevanttotheemploymentof persons
inNigeriaare:
a. LabourAct,(ChapterL1),LFN2004.
SECTION I
STRACHAN PARTNERS 41
b. TheTradeUnionsAct,(ChapterT14),LFN2004asamendedbythe
TradeUnionAmendmentAct,No.8of 2005.
c. TheTradeDisputesAct,(ChapterT8)LFN2004.
d. The TradeDisputes (Essential Services) Act, (Chapter T9), LFN
2004.
e. The3rdAmendmenttotheConstitutionincorporatestheNational
Industrial Court into the Constitution, with powers to hear civil
andcriminalcausesandmattersrelatingto labour, includingtrade
unions and industrial relations, matters between employers, their
organisations, employees and their trade unions/representatives
respectively.
f. TheEmployeesCompensationAct2010.
g. The National Minimum Wage Act, (Chapter N61) LFN 2004
prescribes the minimum wage payable to employees regardless of
whether such persons are employed in the public or private sector
of the economy.
h. The Pension Reform Act, (Chapter P4), LFN 2004 establishes a
contributory pension scheme (the “Scheme”) for the payment of
retirement benefits to employees in both the public service and
private sectors of the Nigerian economy.
i. TheNationalHealthInsuranceSchemeAct, (ChapterN42),LFN
2004:Theunderlyingobjectiveof theNHISActistoensurethat
every Nigerian has access to good health care and to protect Nigerian
families from the rising cost of health care service.
42 STRACHAN PARTNERS
j. NationalHousingFundAct(ChapterN45),LFN2004requiresan
employertodeductanamountequalto2.5%(twoandhalf percent)
of the monthly salary of any employee whose annual salary is up to
threethousandNaira(=N=3,000aboutUS$20.02)andtoremitthe
amountdeductedtotheNationalHousingFundastheemployee’s
contributiontotheNationalHousingFund.
k. TheEmployeesHousingSchemes(SpecialProvisions)Act,(Chapter
E8),LFN2004makesitobligatoryforanemployersodesignatedby
anorderof theMinisterof Employment,LabourandProductivityto
establish,executeandmaintainahousingschemeforitsemployees
if itemployeesnotlessthan500(fivehundred)employees.
l. TheIndustrialTrainingFund(Amendment)Act,2011regulatesthe
training and development of employees.
2. Collective agreements with trade unions
Collective agreements are not, in themselves, legally bindingunder
Nigerianlaw.Nigeriancourtswill,however,enforcesuchagreements
if,forinstance,acollectiveagreementorapartof itisincorporated
expressly or by implication into an executed contract of employment
between an employer and its employees, or into a company hand
book that is deemed to form part of the contract of employment.
Thecourtsmayalsoenforcetheprovisionsof acollectiveagreement
if it can be established that, in relation to its employees in other
matters,anemployerhashaddealingsinwhichitacceptedortreated
thecollectiveagreement(orcertainprovisionscontainedtherein)as
being legally binding.
STRACHAN PARTNERS 43
DISPUTE RESOLUTION
1. The Court System
TheNigeriancourtshaveevolvedandtherulesof courtareconstantlybeing
modernised to achieve the expeditious trial of cases and to encourage the
amicable pre-trial resolution of disputes.
In2004,LagosState adoptednew rulesof court and thus set thepace for
othercourtsinNigeria.SeveralstatessuchasRivers,AkwaIbom,CrossRiver
andAbujaamongothershavefollowedsuit.The2004ruleshavenowbeen
repealedbynewrulesof courtadoptedbyLagosState in2012,witheffect
from1stJanuary,2012.
TheFederalHighCourtalsoadoptednewrulesof courtsin2009.Thenew
rules provide, among other things, for a detailed case management system
wherepartiesarerequiredtoprovideadvancenoticeof theevidencethatthey
willrelyonduringthetrial,atthetimetheyfiletheirsuits.Moststepsinthe
courseof aproceedingarerequiredtobetakenwithinspecifiedtime-frames,
with daily penalties that will be paid if a party fails to take the step.
SECTION J
44 STRACHAN PARTNERS
Therulesof Courtalsoprovideforamicablesettlementof adisputebeforethe
matterproceedstotrial,through‘pre-trialconferences’andforthesettlement
of issues prior to trial.
2. Alternative Dispute Resolution: Arbitration
The Arbitration and Conciliation Act Chapter A18, LFN 2004 makes
provision for the recognition and enforcement of arbitral awards by the
courts. TheAct incorporates the 1976UNCITRAL rules on International
CommercialArbitrationsothatonceobtained,aninternationalarbitralaward
may be registered and enforced in Nigeria by virtue of the Foreign Judgment
(ReciprocalEnforcement)Act–anactwhichmakesapplicabletheNewYork
ConventionontheRecognitionandEnforcementof ArbitralAwards1958.
3. Enforcement of foreign judgements
TheNigeriancourtsrecognizeparties’choiceof foreignlawandjurisdiction.
Theattitudeof theNigeriancourtsinmattersof choiceof lawandjurisdiction
has, generally, been to hold parties to their bargains. However, the courts
have demonstrated that in certain limited circumstances they will be prepared
to assume jurisdiction notwithstanding the express choice of some other
jurisdiction by the parties.
STRACHAN PARTNERS 45
Conclusion andRecommendationNigeriaisripeforinvestment,longterminvestment.Ithasahugedomesticmarket,
anaggressiveprivatesector,andareasonablywelleducatedlabourforce.
Aslawyers,wewouldrecommendthefollowing:
a. a. Knowledge is key - necessary to seek legal advice from a reputable lawyer
on the type of business you need to register because the different types of
businesses recognized under Nigerian law, which we have mentioned have
different legal effect.
b. carry out thorough due diligence.
c. follow the rules - abide by laws and regulations and avoid shortcuts.
d. be ethical.
e. be apolitical; and
f. use trusted advisers with an established track record.
SECTION K
46 STRACHAN PARTNERS
STRACHAN PARTNERS
1. Firm overview
Strachan Partners is a leading Nigerian commercial
law firm offering an array of legal services in
support of its local and international based
clientele, which ranges from local and national
corporations to foreign international undertakings
andforeigngovernmentalorganizations.Thefirm
maintainsofficesinLagos-Nigeria’scommercial
hubandAbuja-thecapitalcityof Nigeria.
From when it was established in 1991, by the
founding partner Charles Adeyemi Candide-
Johnson, SAN, Strachan Partners has consistently insisted on proffering
commercially-focused legal advice to facilitate legal solutions second to
none and as such is known for taking an innovative approach when advising
institutions on their most challenging commercial transactions and dispute
resolution matters. Such dedication has commanded a high success rate with
regardstomattersprosecutedbythefirm,andcommendableglobalrecognition
& awards.
Initsover20yearsof experience,StrachanPartnershasprogressivelybecome
a legal resource as it has garnered a wealth of in-depth knowledge and industry
know-howapplicabletonumerousfacetsof theNigerianeconomy,inparticular
thebuddingsectorsof theNigerianeconomytowhichthefinancialindustry
isoneof.Wechallengethe industrynormsanddeliveracustomizedquality
service to our clients laced with a cost-transparency policy.
STRACHAN PARTNERS 47
2. Key areas of expertise
As a full-service commercial law firm, Strachan Partners specializes in the
followingareasof practice:
• bankingandfinance;
• business establishment and corporate immigration;
• corporaterestructuringincludingmergers,take-oversandacquisitions;
• corporatefinance;
• foreign investment;
• oil and gas;
• telecommunications;
• intellectual property;
• insolvency and debt recovery;
• power and energy;
• corporate advisory including due diligence reviews;
• public and private partnership;
• property,conveyancingandestates;
• tax;
• labour and employment;
• regulatory compliance;
• maritime and admiralty; and
• litigation and alternative dispute resolution.
Inadditiontolegaladvisorywork,thefirmhasadedicatedcompanysecretarial
arm,StrachanNomineesLimited,whichprovidescompanysecretarialservices
toseveralNigeriancompanies,ensuring thatall its retainerclientsareaware
of and comply with their respective reporting and record-keeping obligations
under Nigerian law.
48 STRACHAN PARTNERS
3. Ranking and international recognition
Strachanis:
• rankedasaleadingNigerianfirminTheLegal500Series:Europe, MiddleEast&Africa2013.
• rankedasaleadingNigerianlawfirminbothLitigationandArbitration inthe“ChambersGlobal”:TheWorld’sLeadingLawyersforBusiness 2012.
• listedasarecommendedlawfirminthe2011IFLR1000series.
• listedasasecondtierlawfirminDisputeResolutionintheLegal500 Series:Europe,MiddleEast&Africa2011.
• rankedasaleadingNigerianlawfirminthe“ChambersGlobal”:The World’sLeadingLawyersforBusiness2009.
• rankedasaBand1leadingNigerianlawfirminDisputeResolutionin the“ChambersGlobal:TheWorld’sLeadingLawyersforBusiness2006.
• rankedasoneof thetop4leadingfirmsintheareaof General Commercial Litigation in Nigeria in Chambers & Partners “Chambers Global–TheWorld’sLeadingLawyersforBusiness2004–2005
• rankedbyChambers&PartnersasaBand2leadingNigerianlawfirm inCorporate/M&APracticeinthe“ChambersGlobal–TheWorld’s Leading Lawyers 2003”.
STRACHAN PARTNERS 49
The firm is a legal awards winner of Corporate International 2013 & 2014,
respectively, and has received recognition in the Lawyers World Law Awards,
NigeriaawardsasthebestlawfirminNigeriainArbitration,LitigationandDispute
ResolutionLawfortheyear2011.
Inaddition,thefirm’sseniorpartner,AdeyemiCandide-Johnson,SANisrecognised
in the 2012 IFLR1000 series and described as “excellent” and “talented” in the
Legal 500: Europe,MiddleEast&Africa 2012 and 2013 editions, respectively.
MrCandide-Johnson,SANisalsorankedasatoptierindividualandisdescribed
byChambersGlobal2013asa“sticklerfordetail”.Heislistedasaleadingexpert
in theEmergingMarketsPractitioner (CommercialArbitration)categoryof The
Expert Guides.
In addition, the firm’s senior partner,Mr.Candide-Johnson is recognised in the
2012IFLR1000seriesanddescribedas“excellent”and“talented”intheLegal500
Series:Europe,MiddleEast&Africa2012.
50 STRACHAN PARTNERS
LagosOffice:
5thFloor,AkuroHouse,
24,CampbellStreet,
LagosIsland,
Lagos,Nigeria
Tel:(+2341)2700721,2700722,8720107
Email: [email protected]
Web: www.strachanpartners.com
AbujaOffice:
Suite313,
2ndFloor,OaklandCentre,
48AguiyiIronsiStreet,
Maitama,
FederalCapitalTerritory,Abuja,
Nigeria.
Tel:(+2349)46029163
Email: [email protected]
Web: www.strachanpartners.com