The suit was in respect of damages for breach of contract. The initial proceedings commenced by Mid-Motors Nigeria Co. Ltd., was against Midwest Lines and Armels Transport Ltd, as defendants.

Following the order for pleadings and the filing of the plaintiffs' statement of claim, the plaintiffs applied successfully to the trial court for an order that (a) Midwest Lines Ltd., and (b) Armels Transport Ltd., be substituted as two defendants in place of the original defendants.

The defence called their witness who tendered the certificate of incorporation of Midwest Line Company Ltd., thus showing that that company was a duly incorporated company under Companies Decree. The defence then closed their case. Learned counsel of the defence again opposed the application for substitution in the course of his address.

The trial judge gave judgment in favour of the plaintiff in the sum of £2,392,335.66 against the Government of the Midwest State Bendel State and the second defendants. The learned trial Judge also granted the two applications earlier made by the plaintiffs.

The judgment was thus given against the Government of the Midwest State (now Bendel State) without their being heard in defence of the claim.

The two defendants appealed to the Supreme Court.