At page 4 of the MOU, it is provided as follows:“After the purchase of 40% equity, the joint
responsibilities shall be:1. The share holders shall provide funds as may be
required to commence operations as well as provide
working capital for the first 2 (two) trading cycles in
the ratio of the ownership structure. However the
existing share holders shall bear the cost of cleaning
up the factory, servicing of (machines as well as
fixing the basic building structures.”
In law, a memorandum of understanding is a document which contains
the mutual understanding of the parties based on the terms agreed by the
parties intended to affect the legal relations between them and to be acted
upon accordingly.
- S.F. E.P Ltd V. NDLC (2012) 10 NWLR P. 522.
It is also trite law that parties to an agreement retain the commercial
freedom to determine their own terms and no other person not even the
court can determine the terms between the parties thereto, because the
only duty of the court, is to interpret the terms on the clear wordings.
- Julius Berger Nig. Plc V. T.R.C.B Ltd (2019) 34 WRN
138 at 170 - 171 (Sc).
- Nica Fishing Ltd V. Lavina Corp. (2008) 38 WRN I (SC).
Considering the analysis of the foregoing terms as contained in the
memorandum of understanding, can one say or described the mutual
understanding
of
the
Applicant’s
Company
and
Sokoto
State
Government which led to the signing of the MOU and purchase of 40%
share equity of the Applicant’s Company at the cost of N419,744,612.30
a “non–violent criminal and illicit activity with the objective of earning
wealth” or constitute “any form of corrupt malpractices” for the purpose of
qualifying the process as an economic and financial crime from which the
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