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ACTIVA Insurance Premises Reopened Amid Legal Dispute Over Court-Enforced Closure

Operations at ACTIVA International Insurance Company of Liberia have resumed following a dramatic closure of its headquarters last week, stemming from enforcement proceedings initiated by the National Labor Court over an outstanding judgment debt.

According to an official statement released by the company on Wednesday, the closure occurred on Friday, March 20, when a court sheriff executed a writ against ACTIVA’s offices on 5th Street, Sinkor, halting business activities and restricting access to the premises.

The dispute traces back to a ruling by the Supreme Court of Liberia in November 2025, which dismissed ACTIVA’s appeal in an unfair labor case filed by former employee Saye Gbalazeh. Following the decision, the National Labor Court assessed a total liability of US$497,583.16 against the company.

ACTIVA stated it had already made substantial payments toward the judgment and was attempting to settle the balance in installments. However, tensions escalated when the court rejected a final payment made in Liberian dollars.

“The National Labor Court initially accepted the payment and was in the process of issuing a receipt; however, within minutes… the Court reversed its decision, refusing the Liberian Dollars payment and ordering ACTIVA to pay the amount in United States Dollars,” the company said.

The refusal triggered immediate enforcement action, culminating in the closure of ACTIVA’s offices. The company strongly criticized the move, describing it as excessive and legally questionable.

“In a further escalation that can only be described as draconian, the Court ordered the immediate closure of ACTIVA’s business premises until such time as the judgment balance is satisfied in United States Dollars,” the statement read.

ACTIVA argues that the decision contradicts established legal principles in Liberia, where the Liberian dollar is recognized as legal tender.

“It is a fundamental tenet of Liberian Law that the Liberian Dollar is legal tender within the Republic,” the company asserted, adding that “any attempt to compel payment exclusively in a foreign currency is not only legally indefensible but effectively undermines the sovereign monetary framework of the Republic.”

The insurer also raised concerns about procedural fairness, alleging that the enforcement action contradicted a prior court order granting a payment deadline of March 24, 2026.

“Such conduct is not only irregular but raises serious concerns regarding arbitrariness, abuse of judicial discretion, and denial of a fair hearing,” ACTIVA said.

The closure reportedly disrupted operations, affected employees, and strained relationships with clients and partners. The company described the consequences as “substantial reputational harm” and indicated it is pursuing formal complaints against both the claimant and the presiding judge.

ACTIVA confirmed that its legal team has been instructed to file complaints before the Chief Justice and the Grievance and Ethics Committee of the Supreme Court.

In a significant development, a Chamber Justice ordered the reopening of the company’s premises on Tuesday, March 24, effectively restoring access. However, the Justice upheld the lower court’s position that the remaining balance must be paid in U.S. dollars.

Despite this, ACTIVA maintains its stance on the legality of settling obligations in local currency.

“Considering that Liberian Dollars is a legal tender in Liberia… ACTIVA finds it strange that a Court of Law in Liberia will reject and refuse payment of judgment,” the statement noted.

The company reiterated its commitment to legal compliance while signaling it will challenge what it views as unjust actions.

“ACTIVA remains resolute in its commitment to the rule of law… however, it will not acquiesce to actions that are arbitrary, unlawful, or inconsistent with the principles of fairness and due process.”

The case has drawn attention to broader questions about currency enforcement in judicial proceedings and the balance between legal interpretation and economic policy in Liberia.

G. Watson Richards
G. Watson Richards
G. Watson Richards is an investigative journalist with long years of experience in judicial reporting. He is a trained fact-checker who is poised to obtain a Bachelor’s degree from the United Methodist University (UMU)
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