A Case for Summary Disposal of Arbitral Claims in Nigeria: Lessons from the Arbitration Act 2025 of England and Wales

Introduction

In February 2025, the Arbitration Act 2025 of England and Wales (AA 2025) received royal assent, establishing a new legal framework for arbitration in England and Wales and Northern Ireland. The AA 2025 introduced a new provision that allows an arbitral tribunal to determine a claim or an issue summarily. Section 39A of the AA 2025 provides that, except the parties agree otherwise, a tribunal may summarily make an award as regards a claim or an issue if it considers that the claim or issue or a defence to a claim or issue has no real prospects of succeeding. The implication is that this will allow early determination of issues.

On the other hand, the Arbitration and Mediation Act 2023 of Nigeria (AMA 2023) lacks a corresponding provision. This means that there is no express provision allowing Nigerian-constituted arbitral tribunals to summarily determine claims or issues. This paper will highlight the concept of summary disposal of disputes in civil litigation and its importance in arbitration. It will argue that while there is a need to consider codifying the concept in Nigeria, a purposive interpretation of the current arbitration legal framework could achieve the desired goal.

Summary disposal of disputes

As with other jurisdictions,[1] summary disposal of disputes is not a novel concept in Nigeria. Generally, the rules of the various courts in Nigeria empower courts to decide a claim summarily upon a party's application.[2] This differs from a case where the court disposes of a suit at a preliminary stage (without a hearing on the merits) because it lacks jurisdiction. The summary disposal of disputes, here, is known as summary judgment, which a court grants where there is no genuine issue of material fact between the parties.[3] It is a procedural device that allows the speedy disposal of a controversy without the need for trial,[4] with the objective of preventing delay and saving judicial time.[5] Considering its place in civil litigation in Nigeria, summary disposal of disputes may be a ‘potent power’ for arbitral tribunals in Nigerian-seated arbitrations.[6]

Importance of summary disposal of disputes in arbitration

It has been the position that arbitration’s key advantage over domestic litigation is that it is quicker.[7] However, it is debatable whether this position holds true today.[8] Presently, the disputes that are resolved by arbitration have become more complex and technical, and consequently more time-consuming. In fact, some arbitral proceedings may last well over 24 months.[9] Considering that quick dispute resolution may no longer be arbitration’s advantage over litigation, summary disposal of claims becomes an important feature in the proceedings. More so, considering that the prolonged duration of arbitration proceedings may be because of the parties’ delay tactics,[10] especially where a good case is absent.

Summary disposal of claims in arbitration in Nigeria

As noted earlier, the AA 2025 introduced an important clause to facilitate summary disposal of claims in arbitration in England, Wales, and Northern Ireland. Nigeria’s AMA 2023 does not contain a comparable provision. Despite this gap, the AMA 2023 can be interpreted to permit the summary disposal of arbitral claims in Nigeria. If the objective of interpretation is to discover the intention of the legislature in making the law, it means that an interpretative approach that aligns with and expresses the purpose of the law and the intention of the lawmaker should be preferred.[11] When given a purposive interpretation, the provisions of the AMA 2023 may allow for summary disposal of arbitral claims.

It is worth noting that under the “objectives and application” of the AMA 2023, “Parties, arbitrators, arbitral institutions, appointing authorities and the court shall do all things necessary for the proper and expeditious conduct of the arbitral proceedings.”[12] This indicates that the AMA 2023’s goal—and, by extension, that of the lawmakers—is to ensure swift arbitral proceedings. In addition, the AMA 2023 grants an arbitral tribunal some discretion regarding the arbitral proceedings.[13] Further, in resolving the dispute between the parties, the AMA 2023 enjoins an arbitral tribunal to avoid unnecessary delay or expense.[14] Read together from a purposive perspective, one can argue that an arbitral tribunal, in exercising its discretion and owing to the duty to avoid delay, may summarily dispose of a claim submitted to it.

In addition to a purposive interpretation of the AMA 2023, arbitration institutions in Nigeria may consider including provisions that allow arbitral tribunals to summarily dispose of claims. This has been the practice elsewhere.[15] It is referred to as the early determination or dismissal provisions. Under these provisions, an arbitral tribunal may summarily dismiss a claim that is “inadmissible”, “manifestly without merit”, or “manifestly outside the jurisdiction of the tribunal”.[16] If similar provisions are added to the rules of arbitration institutions in Nigeria, it will give Nigerian-seated arbitral tribunals a stronger footing to make decisions on a summary basis.

Practical implications of summary disposal in Nigeria

Although summary disposal would be an important procedural tool in arbitration in Nigeria, it may not be available in every situation. As with civil litigation, summary judgment is granted in cases where there is no genuine issue of material fact between the parties. And under the AA 2025, a claim or an issue will be summarily disposed of where the claim or issue or a defence to the claim or issue, does not have any prospect of succeeding.  This means that it must be apparent that the material facts are not in dispute or are not considered controversial. By this, summary disposal may not be granted where facts are in issue, or the alleged fact is of such a nature that proving it will require the tribunal to hear evidence.

The enforceability of an arbitral award may deter the use of summary disposal in Nigeria. Generally, arbitral tribunals are mandated by law to ensure that “each party is given the opportunity of presenting its case”.[17] This mandate is rooted in the principle of fair hearing, guaranteed by the Nigerian constitution,[18] to the effect that parties are not to be prevented from presenting their respective cases.[19] Considering that summary disposal obviates the need for trial, a party is more likely to feel denied the opportunity to present its case. And an award may not be enforced if a party was unable to present its case.[20] An arbitral tribunal may rarely summarily dispose of a claim to avoid its award from being challenged.

Conclusion

Summary disposal of claims is an important procedural tool in civil litigation in Nigeria. The Arbitration Act 2025 of England, Wales, and Northern Ireland has introduced a provision for the summary disposal of arbitral claims, enhancing the prospects for efficient arbitration proceedings within the jurisdiction. The efficiency of Nigerian-seated arbitrations can be improved by amending Nigeria’s arbitration law, the Arbitration and Mediation Act 2023, and introducing similar provisions. Additionally, arbitration institutions in Nigeria should include early determination provisions in their respective rules. This will position Nigeria as a regional arbitration hub.