National Policy on Arbitration and Alternative Dispute Resol
Policy · Finance
A Policy establishes a national framework to promote arbitration and other alternative dispute resolution mechanisms for commercial and civil disputes in Nigeria. It targets businesses, individuals, and government agencies involved in disputes. This aims to reduce court backlogs and position Nigeria as a leading arbitration hub in Africa.
What Is This Policy?
Establishes a comprehensive national policy framework to mainstream the use of arbitration, mediation, and other ADR mechanisms in resolving commercial, civil, and public disputes in Nigeria, reducing reliance on the overloaded court system.
Who Does It Target?
Businesses and commercial entities involved in contractual disputes Individuals seeking cost-effective, faster dispute resolution Government agencies and MDAs in contractual and inter-agency disputes
What Does It Aim to Achieve?
Institutionalise ADR as the preferred first-step for commercial and civil dispute resolution in Nigeria Reduce the case backlog in Nigerian courts by diverting appropriate disputes to ADR Position Nigeria as a competitive arbitration hub in Africa
Key Features
ADR Mainstreaming: Mandates ADR clauses in government contracts and encourages adoption in private sector agreements Institutional Framework: Designated ADR institutions and arbitration centres with accreditation standards Enforcement: Strengthened legal framework for enforcing arbitral awards and mediated settlements Capacity Building: Training and certification programmes for mediators, arbitrators, and ADR practitioners
Current Status
How to Access
Parties to a dispute can opt for ADR through accredited arbitration centres, Multi-Door Courthouses, or by including ADR clauses in contracts Agreement of both parties to submit to ADR Engagement of a certified arbitrator or mediator Registration with an accredited ADR centre Application method: Lagos Court of Arbitration: lca.org.ng | Multi-Door Courthouse: MDC offices nationwide | Federal Ministry of Justice: justice.gov.ng
Important Terms
ADR outcomes (arbitral awards) are legally binding and enforceable in Nigerian courts Arbitration clauses in contracts are generally mandatory once agreed by parties
Impact & Metrics
ADR can resolve disputes in weeks rather than years, significantly improving Nigeria's business environment and Ease of Doing Business ranking.
Official Resources
Website: justice.gov.ng Contact: Federal Ministry of Justice This policy summary is for informational purposes. For official and legal details, refer to the cited Act or Bill and official government sources.
Legal Framework
Operates under the Arbitration and Conciliation Act 2004 (superseded by the Arbitration and Mediation Act 2023), the Lagos State Arbitration Law, the Rules of Professional Conduct for Legal Practitioners, and the Federal Competition and Consumer Protection Act 2018. Draws on UNCITRAL Model Law on International Commercial Arbitration and the Singapore Mediation Convention.