Facts:

Before the Federal High Court (lower court), the 2nd Respondent, a registered Association of taxpayers, took out an originating summons for the determination of some questions bordering on the applicability and operation of the Lagos State Hotel Occupancy and Restaurant Consumption (Fiscalisation) Regulations, 2017 vis-a-vis the provisions of the VAT Act relating to the proper agency empowered to collect taxes on consumption of goods and services in Hotels, Restaurants and Event Centres in Lagos State. The suit was filed against the 1st Respondent and the Appellant (as 1st and 2nd Defendants in the lower court) respectively. In opposing the action, the 1st Respondent filed a counter affidavit and a counterclaim seeking declaratory reliefs bordering on the constitutionality of the VAT Act, a legislation that was made in 1993 under a Military regime and therefore an existing law deemed to have been passed by the National Assembly by virtue of the provisions of section 315 of the Constitution of the Federal Republic of Nigeria, 1999 (as altered). The Defendants to the counterclaim are the 2nd Respondent and the Appellant. In its judgment, the lower court dismissed the claim of the 2nd Respondent and granted the counterclaim of the 1st Respondent by restraining the Appellant from enforcing the provisions of the VAT Act against the 2nd Respondent by barring the Appellant from collecting consumption taxes on goods and services consumed in Hotels, Restaurants and Event Centres owned by the 2nd Respondent in Lagos State.

Dissatisfied with the decision of the lower Court, the Appellant appealed to the Court of Appeal.