Fresh Twist In ₦98.5bn Case As Court Pushes CBN, NIBSS Towards Settlement

A Federal High Court in Lagos has advised parties involved in a ₦98.5 billion patent infringement dispute between Enterprise Logistics Speciale Limited, the Central Bank of Nigeria (CBN), Nigeria Inter-Bank Settlement System Plc (NIBSS) and Avanage Nigeria Limited to explore an out-of-court settlement.....KINDLY READ THE FULL STORY HERE▶

Justice Deinde Dipeolu made the recommendation after declining to commence trial because legal representatives for some of the defendants were absent from the proceedings.

The suit was filed by Enterprise Logistics Speciale Limited and its Managing Director, Samuel Kolajo, who are seeking damages over the alleged infringement of their patented cash management technologies, breach of a Non-Disclosure Agreement (NDA) and losses allegedly resulting from the failure to deploy their solution on Nigeria’s national payment infrastructure.

At the hearing, Senior Advocate of Nigeria (SAN) Tayo Oyetibo appeared for the plaintiffs alongside Jessica Adeola-Ajayi and Esther Bawa, while Olaoluwa Ale-Daniel represented NIBSS.

However, the Central Bank of Nigeria, Avanage Nigeria Limited and the Registrar of Patents and Designs were not represented in court.

Oyetibo informed the court that the matter had been scheduled for trial and that the plaintiffs’ witness was present and prepared to testify.

Justice Dipeolu, however, ruled that hearing notices should first be served on the absent parties to ensure fair hearing before trial could proceed.

The judge also reminded the parties of the provisions of the Federal High Court Act, which encourage amicable resolution of disputes, and directed them to make sincere efforts to settle the matter outside the courtroom.

Counsel for NIBSS argued that the organisation operates under the regulatory supervision of the CBN and cannot independently make decisions on issues relating to the dispute.

He also contended that NIBSS was opposed to any arrangement that could create a monopoly within Nigeria’s payment system, which he suggested was at the heart of the case.

Responding, Oyetibo maintained that his clients invested substantial resources in developing the patented technologies and accused the defendants of attempting to use the innovations without authorisation.

He argued that the inventions belong exclusively to the second plaintiff and that the law grants him the exclusive right to benefit from them.

The senior advocate added that despite the dispute, the plaintiffs remain open to resolving the matter through negotiations.

According to the amended statement of claim, the plaintiffs said they developed several cash management technologies beginning in 2011 to modernise Nigeria’s cash handling system and reduce dependence on physical cash transactions.

The technologies include Mobile Smart Deposit, Mobile Cash Sorting and Processing Device, PillarSalt Cash Supply Chain, Cash Recycling and Retail Cash Management Solution, and the PillarSalt Cash and Terminal Management System.

They stated that the innovations are protected by three patents issued under the Patents and Designs Act.

The plaintiffs further alleged that after presenting details of the inventions to the defendants, the CBN introduced guidelines governing Bank Neutral Cash Hubs that allegedly incorporated key aspects of their patented technologies without their approval or compensation.

They are asking the court to affirm their exclusive ownership of the patented inventions, restrain the defendants from using them without written consent, compel NIBSS to integrate the PillarSalt Cash Management Solution into the Nigeria Central Switch within 30 days and invalidate the CBN’s guidelines on Bank Neutral Cash Hubs.

The plaintiffs are also seeking ₦500 million in general damages against the CBN and Avanage Nigeria Limited for alleged patent infringement, ₦200 million against NIBSS for the alleged breach of the 2015 Non-Disclosure Agreement and ₦97.8 billion as compensation for losses allegedly suffered following NIBSS’s refusal to integrate the PillarSalt solution since December 2016.

In its amended defence, NIBSS denied all allegations of patent infringement and breach of the Non-Disclosure Agreement.

The payment system operator argued that the reliefs sought by the plaintiffs would effectively grant them exclusive access to the national payment infrastructure, thereby restricting competition and creating an unlawful monopoly.

Justice Dipeolu subsequently adjourned the matter until October 15 and 16, 2026, for trial should the parties fail to reach an amicable settlement.