The three appellants sued the respondents in the Federal High Court Lagos seeking a number of declaratory and injunctive reliefs in respect of the receivership of the 2nd appellant company.

The respondents brought a notice of preliminary objection before the High Court seeking an order of the court to strike out the suit on the ground of incompetence. The trial court upheld the objection and struck out the action for incompetence especially as the 1st and 3rd appellants instituted the action in the name of the 2nd appellant without the leave of court.

The 1st appellant was dissatisfied with the ruling of the lower court and appealed to this court.