Under Nigerian law, debt recovery is governed by various legal instruments, including the Contract Law, the Commercial Law, and the Debt Recovery Tribunal Act. The process of debt recovery in Nigeria involves the following steps:

  • Demand Letter: The creditor sends a demand letter to the debtor demanding payment of the debt within a specified period.
  • Negotiation: If the debtor responds to the demand letter, negotiations may ensue between the parties with a view to reaching a settlement.
  • Commencement of Legal Proceedings: If negotiations fail, the creditor may initiate legal proceedings against the debtor by filing a claim at the appropriate court.
  • Judgment: If the court finds in favour of the creditor, a judgment will be given, specifying the amount owed by the debtor.
  • Enforcement of Judgment: The creditor may enforce the judgment by obtaining a writ of execution, which allows them to seize and sell the debtor’s assets to recover the debt owed.

It is important to note that debt recovery in Nigeria can be a lengthy and complicated process, and it is advisable to seek the advice of a legal professional to guide you through the process. Additionally, there are debt recovery tribunals set up in Nigeria to handle debt recovery cases, and creditors may also approach these tribunals for assistance.

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