NG Bar Prop Law cheat sheet

Tenure categories: customary (community/family held under native law and custom), statutory (granted by statute, e.g. Land Use Act rights of occupancy), and non-customary (English-derived freehold/leasehold estates existing before 1978 and now converted to rights of occupancy).

The Land Use Act 1978 vests all land in each State in the Governor, held in trust for the people; radical title passes to the State, while use and occupation rights are granted to individuals and communities.

Customary tenure incidents: land belongs to the community, family or individual; the chief or family head holds as trustee; members have rights of use and occupation; alienation requires family or community consent.

Family land is held by the family as a unit; the family head administers it with the principal members, and a sole family head cannot validly alienate family land without the requisite consent.

Customary tenancy (e.g. 'abusa', 'sharecropping') gives occupation rights subject to tribute; it is a lesser interest than ownership and determines when the grantor's need arises, subject to custom.

Non-customary tenure survives as statutory rights of occupancy; pre-1978 freehold interests are extinguished and deemed rights of occupancy under section 34 Land Use Act.

State land is classified as State land, Federal land, or land vested in Local Governments; the Governor has control and management powers over State land under the Act.

Customary right of occupancy is granted by a Local Government (or the Governor in some states), while statutory right of occupancy is granted by the Governor.

Statutory right of occupancy: granted by the Governor under section 5; customary right of occupancy: granted by the Local Government under section 6; both are evidenced by a Certificate of Occupancy.

Certificate of occupancy is conclusive evidence of the holder's title as against the whole world, subject to the Act and to any interest shown in the certificate.

Allocation procedure: application, survey, payment of fees and rent, then issuance of a certificate; the Governor may allocate land in urban areas, while Local Governments allocate in non-urban areas.

Revocation: the Governor may revoke a statutory right of occupancy for overriding public interest (sections 28 and 29) or for breach of conditions; revocation must be by notice and, in the case of public interest, compensation is payable.

Overriding public interest includes alienation by the Governor for public purposes, and the requirement of the land for mining, oil pipelines, or public works.

Compensation on revocation covers the value of unexhausted improvements (buildings, crops, works) at the date of revocation; it does not cover the value of the land itself, which remains vested in the State.

A holder whose right is revoked for breach of conditions (non-development) is not entitled to compensation for the land, but may claim for unexhausted improvements.

Occupiers with a customary right of occupancy are entitled to compensation for crops and improvements when land is acquired for public purposes, assessed under the Act and relevant state laws.

The Act prohibits alienation of a right of occupancy without the Governor's consent (section 22), and a purported transfer without consent is void or ineffective.

A deed must be in writing, signed by the grantor, sealed (where required), and delivered; delivery may be by act or words showing intention to be bound.

Execution by an individual requires signature; where a corporation executes, the common seal or an authorised signatory applies, depending on the company's articles and the applicable law.

Attestation: a deed should be attested by at least one witness who signs and adds address and occupation; attestation is evidence of execution, not a validity requirement in all cases.

Registration: registrable instruments under the Land Instruments Registration Law (or state equivalent) must be registered within the prescribed period; unregistered instruments are inadmissible in evidence to prove title, though they may be admitted to prove payment of consideration or an equitable interest.

Stamping: instruments are stamped under the Stamp Duties Act; an unstamped or insufficiently stamped instrument is inadmissible in evidence until stamped, and stamp duty rates vary by state and by transaction type.

A deed of assignment transfers the assignor's entire unexpired interest; a deed of lease transfers a lesser estate for a term; a deed of gift transfers without consideration and may attract different stamp duty treatment.

Recitals in a deed set out the parties, the root of title and the consideration; operative words (e.g. 'assigns', 'demises') determine the nature of the interest transferred.

Governor's consent under section 22 Land Use Act is required for the assignment or mortgage of a statutory right of occupancy; lack of consent renders the transaction invalid.

Deeds should be executed in duplicate or more, with counterparts exchanged, and the original retained by the grantee for registration.

Root of title is the document from which the vendor's title is traced; a good root must be a document dealing with the whole legal and equitable interest and must be at least the statutory period old (commonly 30 years in many states, or as prescribed).

Investigation of title involves examining the root of title, the chain of transfers, encumbrances, and the vendor's capacity to sell; it also checks for overriding interests and statutory notices.

A good title is one that is free from reasonable doubt, marketable, and capable of being forced on a purchaser; it must be shown by a documentary chain unbroken for the relevant period.

Search and enquiries: searches at the land registry, probate registry, companies registry (for corporate vendors), and enquiries of the local government and occupiers reveal encumbrances and claims.

The vendor must disclose latent defects in title known to them; the purchaser bears the risk of patent defects discoverable on inspection.

Where title is registered, investigation is against the register; where title is unregistered, investigation traces the chain of deeds back to a good root.

A defective root (e.g. a forged or void instrument, or a document lacking Governor's consent) taints the entire chain built on it; a purchaser cannot acquire a better title than the vendor had, subject to statutory exceptions.

The purchaser's solicitor should raise requisitions on title and obtain satisfactory replies before completion; completion transfers the risk and triggers registration and stamping obligations.

Joint tenancy: unity of interest, title, time and possession, with the right of survivorship; on death of one joint tenant, the interest passes to the survivors, not to the deceased's estate.

Tenancy in common: distinct but undivided shares; there is no right of survivorship, and each co-owner may devise or sell their share, subject to the other co-owners' rights.

Severance of a joint tenancy occurs by alienation, by mutual agreement, by course of dealing, or by operation of law (e.g. bankruptcy); severance converts the joint tenancy into a tenancy in common.

Family land is held collectively under customary law; the family head and principal members manage it, and valid alienation requires the consent of the family head and principal members.

Partition of family land: the family may partition land among branches or members by agreement or by court order; on partition, each branch or member takes a defined portion.

A partition deed must be executed by all parties with capacity, and should be registered and stamped; it extinguishes co-ownership and creates separate titles.

Under customary law, a family member has a right of occupation and use but not an alienable share; a purported sale of a portion by a member without family consent is voidable at the family's instance.

Co-owners are accountable to each other for rents and profits in proportion to their shares, and contribution to outgoings follows the shares held.

A lease grants exclusive possession for a term certain, at a rent or other consideration; a licence merely permits occupation and creates no interest in land.

Essential elements of a lease: parties, definite term, exclusive possession, rent (or consideration), and certainty of the premises.

A tenancy at will arises where occupation is with the owner's consent but without a fixed term; it is determinable by either party on demand.

A periodic tenancy (e.g. yearly or monthly) renews automatically until terminated by proper notice to quit; the length of notice depends on the period of the tenancy.

Statutory protections: the Recovery of Premises Act (and state equivalents) govern notices to quit, service, and recovery of possession; residential tenancies may attract additional state laws.

Forfeiture: a lease may be forfeited for breach of covenant, non-payment of rent, or breach of a condition; relief against forfeiture may be granted by the court.

A licence is revocable and does not bind third parties; a lease binds successors in title and is an interest capable of assignment, subject to covenants against assignment.

Leases for more than three years generally require registration to be admissible to prove title, and leases of statutory rights of occupancy require the Governor's consent.

A mortgage is a security interest in land created by deed; a charge is a security interest created without transfer of title, and both secure repayment of a debt or performance of an obligation.

Legal mortgage of a statutory right of occupancy requires the Governor's consent under section 22 Land Use Act; a mortgage without consent is invalid.

A mortgagee's remedies include: action on the covenant to pay, appointment of a receiver, foreclosure, and sale; sale is usually exercisable after default and after notice, subject to the terms of the mortgage deed.

A mortgagee exercising a power of sale must act in good faith and take reasonable care to obtain a proper price; the proceeds are applied to the debt, costs, and then to subsequent encumbrancers, with the surplus to the mortgagor.

Equity of redemption: the mortgagor retains the right to redeem until the mortgage is foreclosed or the property is sold; any provision clogging this right is void.

Priority between mortgages is generally determined by registration (or by notice to the mortgagor in some cases); a registered mortgage takes priority over an unregistered one.

A charge over land created by a company must be registered at the Corporate Affairs Commission within the statutory period; failure to register renders the charge void against the liquidator and creditors.

Tacking: a mortgagee may advance further sums under the same mortgage and retain priority, subject to the terms of the mortgage and notice of subsequent encumbrances.

An easement is a right enjoyed by one piece of land (dominant tenement) over another (servient tenement); it must accommodate the dominant tenement and be capable of forming the subject matter of a grant.

Easements may be created by express grant or reservation, by implication, by prescription, or by statute; they are legal interests if created by deed or statute.

A profit à prendre is a right to take something from another's land (e.g. timber, minerals, crops); it may be enjoyed in gross or appurtenant to land.

A restrictive covenant is an equitable interest that restricts the use of land for the benefit of other land; it binds successors in title if the burden and benefit are properly annexed and the covenant is negative in substance.

Positive covenants generally do not run with the land at common law, though they may be enforceable through chains of indemnity covenants or statute.

A covenant must be registered or noted to bind a purchaser; in registered systems, notice on the register protects the covenant against subsequent purchasers.

Easements and covenants are overriding interests in some registration systems and may bind purchasers even without registration; investigation should include inspection and enquiries.

Extinguishment of easements occurs by abandonment, unity of ownership of dominant and servient tenements, or express release; prescription requires long, continuous, open and peaceful use.

Registration systems: title registration (registration of title to land, with a state guarantee) and deed registration (registration of instruments, not title); Nigeria uses both, depending on the state.

Under deed registration, priority is generally determined by the order of registration, not by the order of execution; a later-registered instrument may prevail over an earlier unregistered one.

Under title registration, the register is conclusive; a registered proprietor holds title subject only to registered interests and overriding interests.

Land charges: statutory charges, restrictive covenants, and other encumbrances may be registered as land charges; failure to register may render the interest void against a purchaser for value without notice.

Notice, actual or constructive, affects priority: a purchaser with notice of an unregistered interest takes subject to it, even if the interest is not registered.

The Land Use Act and state land registration laws require registration of instruments; unregistered instruments are generally inadmissible to prove title, with limited exceptions.

Overriding interests (e.g. customary rights, easements, short leases, and rights of occupiers) bind a registered proprietor even though not entered on the register.

Search and priority rules: a purchaser should search the register before completion; registration should be effected promptly after completion to secure priority against later dealings.

Compulsory acquisition is the statutory power of the State to take private land for public purposes, subject to the Constitution and the Land Use Act; the Land Use Act provides the principal framework for revocation and compensation.

Public purpose includes roads, schools, hospitals, drainage, and other works for the public benefit; the purpose must be stated and the acquisition must follow the prescribed procedure.

Procedure: notice of intention, survey, publication, and a revocation or acquisition instrument; affected persons must be given notice and an opportunity to claim compensation.

Compensation is payable for the value of unexhausted improvements, crops, and disturbance; the value of the land itself is not compensable under the Land Use Act where radical title is vested in the State.

Resettlement: where acquisition displaces occupiers, the acquiring authority may provide resettlement land or cash compensation; the terms should be agreed or determined by the appropriate tribunal.

The Land Use Act establishes a Land Use and Allocation Committee and, for compensation disputes, recourse lies to the appropriate court or tribunal; claims should be made within the prescribed time.

Compensation assessment considers the market value of improvements at the date of acquisition, the cost of relocation, and any special value of the land to the claimant.

A claimant dissatisfied with the compensation offered may challenge the assessment in court; the acquiring authority must pay compensation before taking possession in accordance with the law.

Where land is acquired for federal purposes, the Federal Government may acquire land through the state Governor; the procedure and compensation rules follow the applicable federal and state legislation.