More than three years after the Arbitration and Mediation Act 2023 (AMA) replaced the Arbitration and Conciliation Act, Nigerian courts and arbitral institutions have continued to develop the jurisprudence surrounding the Act’s reforms. For clients with cross-border contracts, energy and infrastructure exposure, or regulatory disputes, understanding the AMA and applicable state arbitration legislation remains important to dispute strategy.
THE AMA IN PRACTICE: WHAT THE 2025 CASE LAW SHOWS
The AMA introduced several important reforms, including provisions on tribunal constitution, emergency arbitration, joinder and consolidation, third-party funding, arbitrator immunity, interim measures and the recognition and enforcement of awards. Its limitation provisions should be read directly with the Act and applicable limitation legislation; they should not be described as creating a blanket rule that excludes the entire arbitration period from all limitation calculations.
Recent Nigerian arbitration decisions continue to address the enforcement and challenge of arbitral awards, including the circumstances in which courts may refuse enforcement or permit a challenge. The AMA provides a modern statutory framework for recognition and enforcement of domestic and foreign awards, subject to the grounds and procedures set out in the Act.
A FRAGMENTED BUT CONVERGING STATE FRAMEWORK
Nigeria has both federal and state arbitration frameworks. The AMA applies nationally, while Lagos, Rivers and Delta have also enacted state arbitration legislation that may apply to arbitrations falling within their respective territorial frameworks. The existence of state legislation does not mean that all other states simply continue to apply the 1914 Arbitration Law; parties and counsel should identify the applicable federal or state statute and the agreed seat and governing law for each arbitration.
REGULATORY AND ENERGY SECTOR DISPUTES ON THE RISE
Beyond commercial arbitration, disputes may arise at the intersection of energy regulation, host-community obligations, gas commercialisation and contractual performance. These areas should be monitored as the implementation of the PIA and related regulatory programmes develops.
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2025 HIGHLIGHTS
Nigeria’s dispute-resolution environment is now shaped by the Arbitration and Mediation Act 2023, established institutional practice under the new framework, and continuing judicial consideration of challenges to and enforcement of arbitral awards. Commercial disputes are also increasingly connected to regulation, infrastructure, energy, construction, tax, insolvency and public-sector contracting. The appropriate dispute strategy therefore depends not only on the merits of the underlying claim but also on the contract, seat, applicable arbitration legislation, available interim measures and enforcement pathway.
ARBITRATION UNDER THE AMA
The Arbitration and Mediation Act introduced significant changes to Nigerian arbitration practice, including provisions dealing with emergency arbitration, tribunal constitution, joinder and consolidation, interim measures, third-party funding, arbitrator immunity and recognition and enforcement of awards. Parties drafting arbitration agreements should ensure that the clause is sufficiently clear on the seat, institutional rules where applicable, number and appointment of arbitrators, governing law and the scope of disputes covered. Existing contracts should also be reviewed where the new statutory framework materially affects enforcement or procedural strategy.
COURT SUPERVISION AND ENFORCEMENT
Court involvement remains important at the support and enforcement stages. Parties may require judicial assistance in relation to interim measures, challenges, enforcement or other matters provided for by the applicable law. The practical lesson is that an arbitration clause should be drafted with the enforcement stage in mind. Security for costs, interim relief, confidentiality, evidence, limitation and the identity and location of assets should be considered at the beginning of a dispute rather than after an award has been issued.
STATE ARBITRATION REGIMES AND SEAT SELECTION
Nigeria’s arbitration landscape is not entirely uniform at state level. Federal legislation operates alongside state arbitration legislation in jurisdictions including Lagos, Rivers and Delta. Parties should therefore identify the law applicable to the arbitration, the legal seat and the court that may exercise supervisory jurisdiction. A dispute clause that simply refers to ‘arbitration in Nigeria’ without addressing these questions may create avoidable procedural uncertainty.
ENERGY, CONSTRUCTION AND REGULATORY DISPUTES
The growing volume of infrastructure, power, petroleum and construction projects creates a corresponding need for specialised dispute management. Long-term projects should provide for escalation mechanisms, expert determination where appropriate, interim relief, document preservation and clear allocation of responsibility for delay, variations, force majeure, regulatory change and payment. In regulated sectors, counsel should also consider whether the dispute engages statutory powers that cannot simply be displaced by contract.
FORWARD LOOK: DISPUTE PREVENTION
The strongest dispute strategy often begins before a dispute arises. Clients should conduct contract health checks on material agreements, review dispute clauses before execution, preserve contemporaneous records and establish escalation protocols for major projects. Where a dispute is already developing, early assessment of jurisdiction, limitation, evidence, settlement options and enforcement prospects can materially affect cost and outcome. Summit Legal’s dispute practice can support clients through litigation, arbitration, mediation, negotiation and enforcement, depending on the legal and commercial objectives of the matter.
- Mondaq, “A Review of Some Notable Arbitration Decisions by The Nigerian Courts In 2025” (May 2026).
- Arbitration and Mediation Act 2023; relevant Nigerian arbitration-law commentary and case-law materials.
- White & Case, “New Arbitration Regime Comes into Force in Nigeria.”
- Global Arbitration Review, Nigeria commercial arbitration overview (current edition).
- Applicable Nigerian federal and state arbitration legislation, including the AMA 2023 and Lagos, Rivers and Delta legislation.
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