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Facts:
The appellants and respondent were involved in an arbitral proceeding. During proceedings, one of the arbitrators brought to the attention of the parties, the fact that he had in the past acted for a certain company named Addax SA of Geneva and sought to know if any of the parties were connected to it in any way, in which case it will be expedient for him to disqualify himself from further proceedings. The parties did not raise any objections and thereafter expressed confidence in the arbitrator to dispense justice without bias.
At the end of arbitration, the award was granted generally in favour of the respondent. The respondent filed two applications at the High Court, one seeking to enforce part of the award and the other to set aside the part of the award not favourable to it. The appellant did not challenge the application for enforcement which was granted and settled by the appellant. The respondent continued prosecution of the other application to set aside part of the award on the ground that the arbitrator misconducted himself by his continued participation in the proceedings after revealing his connection with one of the parties. The respondent contended that the arbitrator breached the principles of nemo judex in causa sua and as such part of the award complained of be set aside.
The court found in favour of the respondent and held that the arbitrator was in breach of the principles of nemo judex in causa sua and that the entire proceedings were invalid and therefore, set aside the entire award. The appellant was aggrieved and filed a notice of appeal at the Court of Appeal, Lagos Division challenging the decision of the court.
One of the issues raised for determination was whether the trial judge was right when he held that one of the arbitrators was in breach of the rules of natural justice and fair hearing by his continued participation in the arbitration proceedings even after disclosing his interest in the appellants.