Lawsuit over MultiChoice Nigeria subscription hikes withdrawn, case closed

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July 29, 2024
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2 min read
MultiChoice's building

The News:

  • On Monday, July 29, 2024, the legal case against MultiChoice Nigeria Limited, a South African-based payTV subsidiary, was dismissed after Barrister Festus Onifade decided to withdraw the suit against the company and the Federal Competition and Consumer Protection Commission (FCCPC). 
  • MultiChoice had requested a stay of proceedings, leading the tribunal to reschedule the hearing to November 2024. Onifade withdrew the suit, concerned that the delay might be used by the company to obstruct his case and appeal the court’s decision.
  • The tribunal, led by Thomas Okosu, reviewed Order 6 Rule 4 of the Court of Appeal Rules and found no barriers preventing MultiChoice from filing a stay of proceedings. 

The case revolved around the subscription fee hikes for DStv and GOtv. MultiChoice’s lawyer, Moyosore J. Onibanjo, sought an adjournment due to the company’s vacation period from July to September 2024, claiming they could only address urgent matters during this time.

Onifade argued that MultiChoice could not control the tribunal's schedule and refused the rescheduled hearing. Following his announcement to withdraw, the Competition and Consumer Protection Tribunal (CCPT) approved his request.

In the suit marked CCPT/OP/2/2024, Onifade accused MultiChoice of increasing subscription fees without the required one-month notice to customers in April 2024.

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In the following month, he argued that the company disobeyed the court order by going ahead with the price hike on May 1, 2024, and filed a notice to have MultiChoice's Abuja Manager, Mohammed Sageer Sani, thrown in jail for contempt of court.

This followed the tribunal's earlier restraining orders which were filed against the price increase for DStv and GOtv subscriptions.

READ MORE   South Africa’s Sanlam to take over 60% of MultiChoice’s insurance business

The move led to the dismissal of a preliminary objection filed by MultiChoice’s lawyer, Moyosore Onibanjo (SAN), who argued that the proceedings favoured his client. Consequently, the tribunal imposed a fine of ₦150 million on MultiChoice and mandated a one-month free subscription for Nigerian users.

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