Consumer tribunal upholds ₦190 million fine against Coca-Cola Nigeria for misleading packaging

The Competition and Consumer Protection Tribunal has rejected a post-judgment settlement between Coca-Cola Nigeria and FCCPC, affirming a ₦190 million fine for deceptive packaging practices

[dropcap]T[/dropcap]he Competition and Consumer Protection Tribunal (CCPT) has affirmed a ₦190 million fine imposed on Nigerian Bottling Company Limited (NBC), also known as Coca-Cola Nigeria, for misleading packaging, while rejecting a post-judgment settlement attempt between NBC and the Federal Competition and Consumer Protection Commission (FCCPC).

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In its judgment delivered on Monday, April 28, the three-member tribunal, led by Presiding Judge Thomas Okosun, dismissed NBC’s motion to adopt the proposed settlement terms as consent judgment.

The panel described the move as an “attempt to arrest judgment,” which it declared was unknown to Nigerian jurisprudence.

NBC’s counsel, O. Ogunride, had presented the tribunal with a settlement agreement reached with the FCCPC and sought its adoption.

The FCCPC’s representative, Abimbola Ojenike, confirmed the agreement, citing finalised discussions with the Commission’s Legal Director, Akoji Achimugu.

However, the tribunal noted that the proposed settlement was filed after judgment had already been reserved and both parties had submitted their final arguments.

Justice Okosun stated, “The notion of arrest of judgment is unknown to Nigerian law,” adding that the timing of the agreement rendered it invalid.

The notion of arrest of judgment is unknown to Nigerian law. This settlement attempt undermines the regulatory authority and the tribunal’s constitutional obligation to the public.” — Judge Thomas Okosun

The tribunal also faulted the FCCPC’s decision to participate in a late-stage settlement, warning that it undermined the commission’s authority as a public regulator and compromised its responsibility to uphold the public interest.

The tribunal criticised the FCCPC’s reversal of its prior position, citing inconsistencies between the proposed settlement—which claimed “there is no penalty”—and the commission’s earlier findings of regulatory breach.

Rejecting the settlement, the tribunal delivered its final ruling, upholding the findings of a five-year investigation which concluded that NBC had violated consumer protection laws through misleading marketing practices.

The conduct, it said, contravened the Federal Competition and Consumer Protection Act (FCCPA) and the 1999 Constitution (as amended).

NBC’s appeal against the ₦190 million penalty was dismissed for lack of merit, and the company was ordered to pay the fine within 60 days.

The case originated from an August 2024 FCCPC announcement accusing NBC of deceptive marketing through the mislabelling of its zero-sugar Limca Lime-Lemon variant—later attributed by the company to a production error at its Abuja facility.

NBC had argued that the labelling error was unintentional and that its packaging complied with national regulatory standards.

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However, the FCCPC maintained that the misrepresentation had breached consumer rights and warranted regulatory sanctions.

Quadri Olaitan