Why We 'Disobeyed' Court Order On Tariff Hike --Multichoice

Multichoice Nigeria has challenged the jurisdiction of the Federal
High Court to adjudicate a suit filed against it over the hike in the
prices of Digital Satellite Television (DSTV) and GoTV subscriptions.

This was as the plaintiffs filed a contempt charge against Multichoice
directors for allegedly disobeying a valid court order.

Justice Chukwujekwu Aneke on April 2 granted an order of interim
injunction restraining Multichoice from enforcing its planned price
increase.

The judge asked parties to maintain status quo until the suit is determined.

The order reads in part: "That an order of interim injunction is
hereby granted to the parties to maintain the status quo restraining
the first defendant (Multichoice/DSTV) from giving effect or enforcing
its planned increase in cost of the different classes of viewing or
programmes bouquet, pending the hearing and determination of the
motion on notice."

The suit was filed by Mr. Osasuyi Adebayo and Mr. Oluyinka Oyeniji, a
lawyer, on behalf of themselves and individual/corporate subscribers
of DSTV and distributors.

MultiChoice, owners of DStv and GOtv, had announced a 20 percent price
increase for all its satellite pay TV bouquets in Nigeria with effect
from April 1.

Thursday, Oyeniji accused Multichoice of disobeying the order, saying:
"The order has been flouted brazenly."

But counsel for Multichoice, Mr. Moyosore Onigbanjo (SAN) said his
clients did not obey the order because it was made after the new price
had gone into effect.

"An injunction cannot be granted in respect of a completed act," he said.

"By the time the order was made, the price increase had been affected.
The order was made on April 2 and we were served on April 8. The price
increase took effect from April 1," Onigbanjo added.

Besides, he said Multichoice was not bound to obey the order since it
is already challenging the court's jurisdiction.

He also pointed out that the order stated that "status quo" should be
maintained; arguing that status quo as at the time the order was made
meant the new subscription rates, not the old prices.

But Oyeniji said Multichoice ought to have obeyed the order because
the suit was filed before April 1.
"The order was made for a continuing action," he said.

He also informed the court that he had filed Form 48 (Notice of
consequences of disobedience to order of court) and Form 49 (Notice to
show cause why order of attachment should not be made).

The applications are seeking to commit Multichoice Managing Director
John Ugbe and Manager Public Relations Caroline Oghuma to prison.

The plaintiffs said the two disobeyed the order requiring them to
"refrain from the increase in tariff pending the determination of the
suit."

However, Onigbanjo said his notice of preliminary objection supersedes
all other pending applications.

"The court is obligated to determine the issue of jurisdiction because
anything done without it being resolved first will be a waste of
time," he said.
Justice Aneke adjourned till May 5 for hearing of the preliminary objection.