Nigeria’s advertising regulation landscape has been thrown into rare turbulence as two Federal High Courts — sitting barely five days apart — delivered contradictory judgments on the constitutionality, scope and enforcement powers of the Advertising Regulatory Council of Nigeria (ARCON).

The rulings have rekindled long-standing tensions in the ₦500bn marketing communications industry, validated several concerns repeatedly raised by advertisers, and raised urgent questions about Nigeria’s regulatory coherence.

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WIDE GAP IN RULINGS: One Court Restrains ARCON, Another Upholds It

1. Lagos Court: ARCON Overreached Its Powers

In a landmark decision on Nov. 7, 2025, Justice Akintayo Aluko of the Federal High Court, Lagos, delivered a judgment that shook the industry to its core:

Key Pronouncements:

• Outdoor advertising regulation is the exclusive constitutional function of Local Governments.
  
• ARCON’s claim to regulate outdoor and hoardings is unconstitutional and void.
  
• The Advertising Standards Panel (ASP) pre-approval mandate is invalid.
  
• ARCON’s Notice of Violation and Advertising Offences Tribunal summons are unlawful.
  

The judgment, delivered on Friday, November 7, 2025, by Justice Akintayo Aluko in the suit Massilia Motors Limited vs. ARCON (FHC/L/CS/1044/2025), directly addresses issues ADVAN has repeatedly raised about the Act’s overreach and its conflict with the 1999 Constitution.

The ruling fully aligned with ADVAN’s long-held arguments, strengthening advertisers’ pushback against what they describe as “excessive regulatory intrusion.”

Legal analysts say the Lagos ruling effectively clipped the wings of ARCON’s attempts to expand its authority into traditional outdoor regulation — a domain the Constitution reserves for Local Government Councils.

ADVAN and several brand owners welcomed the ruling as a long-awaited victory for constitutionalism, transparency, and industry fairness.

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2. Lokoja Court: ARCON Has Full Authority — Nationwide

Barely five days later, on Nov. 12, 2025, Justice Isa Dashen of the Federal High Court, Lokoja, reached the direct opposite conclusion in Godec Power Nigeria Ltd v. ARCON.

Key Rulings:

• ARCON Act 2022 is constitutional.
  
• ARCON’s oversight extends across ALL advertising platforms and categories.
  
• Outdoor advertising is NOT exclusively a residual function of Local Governments.
  
• Pre-approval requirements do not violate freedom of expression.
  
• The Act applies to anyone who benefits from or engages in advertising — not just agencies.
  

The court dismissed all 13 reliefs sought by the plaintiff and imposed costs of ₦500,000 in favour of ARCON and the Attorney-General of the Federation.

This judgment validated ARCON’s expansive regulatory stance and insisted that oversight of national communication standards is a legitimate federal function.

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BRANDECONOMY ANALYSIS: Industry Faces a Twin-Track Regulatory Crisis

The direct conflict between both judgments has created a regulatory stalemate with major implications:

1. LEGAL AMBIGUITY

With two concurrent Federal High Court rulings contradicting each other, stakeholders now face:

• competing interpretations of the law
  
• regulatory uncertainty
  
• increased litigation risk
  

Legal experts predict a Supreme Court showdown is inevitable.

2. ADVERTISERS IN LIMBO

Brands must now navigate:

• uncertainty over whether ASP pre-approval remains mandatory
  
• confusion about ARCON’s power over outdoor assets
  
• the fear of inconsistent enforcement across states
  

ADVAN’s long-standing concerns about over-regulation have now gained judicial backing — but only in Lagos.

3. REGULATORS UNDER PRESSURE

ARCON, emboldened by the Lokoja ruling, is expected to:

• double down on enforcement
  
• push uniform adoption of the ARCON Act
  
• continue disciplinary actions through the Advertising Offences Tribunal
  

However, the Lagos ruling casts a shadow over the legitimacy of these actions.

4. LOCAL GOVERNMENTS RE-ENTER THE ARENA

The Lagos judgment re-energises Local Governments, who have long depended on outdoor advertising levies for internally generated revenue.

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BRANDECONOMY Insight: The Battle for Who Regulates What Has Just Begun

Nigeria’s marketing communications ecosystem now stands at a crossroads.
The sector cannot thrive on contradictory court pronouncements.

To restore stability, the following are urgently required:

• A Supreme Court pronouncement to harmonise constitutional interpretation
  
• An inter-agency dialogue to prevent regulatory overlap
  
• A stakeholder-driven review of the ARCON Act
  
• A modernised outdoor advertising framework aligned with global best practices
  

Until then, brands, agencies, outdoor asset owners and regulators must navigate a fractured regulatory environment with caution.

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