Abuja Chamber of Commerce Urges Nigerian Businesses to Adopt Alternative Dispute Resolution to Bypass Multi Year Court Delays

The Abuja Chamber of Commerce advocates for alternative dispute resolution to help Nigerian companies avoid years of litigation and reduce settlement costs.

By: AXL Media

Published: Mar 25, 2026, 7:58 AM EDT

Source: The information in this article was sourced from Peoples Gazette

Accelerating Commercial Justice Through Alternative Mechanisms

The Abuja Chamber of Commerce and Industry has launched a new advocacy initiative aimed at steering the Nigerian private sector away from traditional litigation toward more efficient settlement frameworks. Hauwa Usman, the Registrar General of the Nigerian Chamber of Commerce Dispute Resolution Centre, emphasized on Wednesday that the speed of conflict resolution is a primary determinant of corporate profitability. In an environment where judicial backlogs are common, the adoption of non-adversarial methods is being positioned as a strategic necessity for companies looking to maintain their competitive edge without being bogged down by the state's legal machinery.

The Economic Toll of Protracted Legal Battles

Standard litigation in Nigeria frequently spans between three and five years, a timeline that often proves fatal for small and medium sized enterprises. Usman pointed out that during these lengthy court processes, business operations are often paralyzed, and critical assets may be frozen or depreciated. By contrast, the specialized mechanisms offered through the dispute resolution centre allow for a much more rapid conclusion. This efficiency ensures that executive leadership can focus on market expansion and innovation rather than being distracted by the exhaustive demands of a conventional courtroom trial.

Efficiency Benchmarks of Mediation and Arbitration

One of the most compelling arguments for alternative pathways is the dramatic reduction in the time required to reach a final agreement. While the filing process alone for a standard lawsuit can take months, mediation sessions can often resolve complex commercial disputes within six to eight weeks. In some instances, a single sitting is sufficient to reach a mutually beneficial settlement, according to the registrar general. This accelerated timeline is particularly beneficial for cross border trade agreements, where rapid resolution is required to maintain international supply chains and investor confidence.