Does the Appointment of a Receiver Alter the Corporate Legal Personality of a Nigerian Company? An Examination of the Supreme Court Decision in Neconde Energy Limited v FBNQuest Merchant Bank Limited & 4 Ors
The Supreme Court’s decision in Neconde Energy Limited v FBNQuest Merchant Bank Limited & 4 Ors clarifies that receivership may displace directors’ powers over charged assets without extinguishing the company’s separate legal personality. Where the validity or scope of the receiver-manager’s appointment is itself challenged, the company retains residual authority through its board to appoint independent counsel and protect its legal interests.
