The federal high court in Lagos has restrained the Federal Competition and Consumer Protection Commission (FCCPC) from enforcing parts of the digital, electronic, online, or non-traditional consumer lending regulations, 2025.
Ambrose Lewis-Allagoa, the presiding judge, granted the
interim injunction following an ex-parte motion filed by the Wireless
Application Service Providers Association of Nigeria (WASPA Nigeria).
The association is challenging the legality of some
provisions in the regulations.
THE REGULATIONS
The regulations, also known as the DEON consumer lending
regulation, were officially gazetted and took effect on July 21, 2025.
In September 2025, FCCPC said the rules, issued under the
Federal Competition and Consumer Protection Act (2018), would serve as a
comprehensive framework for registration, transparency, and ethical loan
recovery.
The commission said the document is also the framework for
data privacy and responsible lending across all unsecured consumer credit
offered through electronic and non-traditional channels.
In November 2025, FCCPC set January 5, 2026, as the deadline
for full compliance with the regulations.
THE SUIT
In its application, WASPA Nigeria argued that the
regulations would adversely affect its members, who operate within Nigeria’s
digital lending ecosystem.
On Tuesday, April 14, the association approached the court
to seek urgent judicial intervention to stop the enforcement of key provisions
of the regulatory framework.
The association urged the court to restrain the FCCPC from
enforcing various provisions of the regulations, including paragraphs 3, 7, 10,
12, 13, 14, 15, 16, 24, 27, 29, and 32.
WASPA Nigeria asked the court to stop the FCCPC from
imposing sanctions, penalties, or fines on its members, as well as from issuing
directives that could affect their operations.
THE VERDICT
During the hearing, Kemi Pinheiro, the lead counsel to the
applicant, made submissions regarding why the court should grant the interim
injunction.
The judge held that the applicant had made a case to warrant
interim protection pending further hearing of the suit.
The judge restrained the FCCPC from enforcing or giving
effect to the contested provisions of the regulations, pending the hearing and
determination of the motion on notice for interlocutory injunction.
The judge also barred the commission from taking any steps
that would interfere with or prevent WASPA members from continuing to provide
services or products regulated under the framework.
He also restrained FCCPC from imposing any sanctions or
penalties on the association’s members arising from alleged non-compliance with
the regulations.
The judge prohibited the commission from issuing any further
orders or directives relating to the implementation or enforcement of the
disputed regulatory framework.
The case was adjourned to April 27 for hearing of the
substantive application.
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