1. HE WHO COMES TO EQUITY, MUST COME WITH CLEAN HANDS
The story of how Mr. Tobias almost lost millions of naira as a good samaritan until equity came to his aid. Important lessons on how some people pay back a good deed with a bad action or conduct.
Thread.

2. Mr Tobias was a Lagos based businessman who was into the importation and sale of auto spare parts. He had a thriving business and had shops located in different parts of Lagos but with his main office or head office at Ladipo.

3. One day, his friend and fellow businessman; Mr. John approached him with a business opportunity. He told him of a fast selling product that he wanted to import and wanted him to invest in the business so they would share the profit.

4. Mr. Tobias thanked his friend but declined the offer. Mr. John then pleaded with him to loan him the sum of 10 million and that he was going to pay back after 9 months with a 20% interest. Although he was reluctant at first, Mr. Tobias eventually loaned him the money.

5. On the due date for the repayment of the loan, Mr. John failed to repay as agreed. The following day Mr. Tobias put a call across to him to remind and demand for the loan. Mr. John pleaded with him to give him an extra 3 months to make it 12 months. Mr. Tobias agreed.

6. 18 months after and despite several demands, Mr. John still did not pay back the principal sum not to talk of interest. At this point, Mr. Tobias was frustrated and had to involve his lawyers to take the necessary action.

7. His lawyers also immediately wrote to Mr. John to demand the repayment of the loan but he still didnt comply. Eventually, after over 24 months from the date the loan was granted, a civil case was instituted against Mr. John at the High Court.

8. Upon being served with the court process, Mr. John also briefed lawyers. His lawyers immediately filed a notice of preliminary objection against the hearing of the case on the ground that the contract was illegal and unenforceable and therefore should be dismissed.

9. They argued that the agreement between Mr. Tobias and Mr. John was a loan agreement and that by the Money Lenders Law of Lagos State, only a person or business with a license can loan money to people. That Mr. Tobias didnt have a Money Lenders License as directed by Law.

10. Even tho the lawyers to Mr. Tobias argued otherwise, the Preliminary Objectiin was upheld by the court and the case was dismissed on that ground. Mr. John was devastated and couldnt believe his money was going to be lost like that. His lawyers immediately filed an appeal.

11. Unfortunately for Mr. Tobias, the Court of Appeal also upheld the judgement of the High Court and dismissed his appeal. At this point, he was almost giving up but his lawyers told him that they would be going to the Supreme Court which they did.

12. At the Supreme Court, the learned Justices held as follows:
a. That the Court would not allow a person, after collecting money from another to do business, to now turn around to plead the Money Lenders law in order to escape the refund of the loan.

b. That the Money Lenders Law is not to be used as an instrument of fraud and it is applicable to those who intend to carry on business as money lenders and not someone like Mr. Tobias who was merely trying to help out a friend in a private capacity.

13. The Supreme Court then set aside the decision of the Court of Appeal, allowed the appeal and entered judgment in favour of Mr. John by ordering the repayment of the loan plus interest and a 10% post judgment interest until the entire sum was repaid.

14. This thread is an hypothetical case that was inspired by the real case of CHIDOKA V FIRST CITY FINANCE CO. LTD (2013)All FWLR (PART 659)1024. It is an interesting read.