Concerned With Understanding or How to Deal With/ Negotiate Liability Caps and Exemption of Liability Clauses in Contracts? Here are Some Thoughts- A Thread.... @oladapoyusuf @OmoKakafiala

Nigeria is a common law country & an incidence of being a common law country is that many common law doctrines are applicable under Nigerian law & one such doctrine is the freedom of contracts. Parties are empowered to choose the terms & conditions of their contracts.

Consequently, in the absence of a vitiating element, such as fraud, misrepresentation or undue influence or duress, the courts are willing to and have severally given judicial nod to terms agreed by contractual counterparties. @OmoKakafiala @bosuntijani @iaboyeji

Due to huge pecuniary & other liabilities that may arise under contracts (e.g. the Macondo/BP oil spill incidence), contracting parties may, at entering into contracts, insert clauses to limit liability that could ordinarily result from the performance/ execution of the contract.

In other instances, contractual counter-parties may exempt liability, altogether. In those instances, therefore, such clauses are limitation or exemption clauses. This thread considers the issues around/ rules relating to capping liability or exemption same, under Nigerian law.