LAWRENCE AGBAJE VS THE REPUBLIC
September 4, 2025ATTORNEY GENERAL, EASTERN NIGERIA VS ATTORNEY GENERAL OF THE FEDERATION
September 4, 2025Legalpedia Citation: (1964-06) Legalpedia 49616 (SC)
In the Supreme Court of Nigeria
Holden At Abuja
Mon Jun 29, 1964
Suit Number: SC 385/1962
CORAM
ADEMOLA, CHIEF JUSTICE, NIGERIA
BRETT, JUSTICE, SUPREME COURT
OLUKAYODE ARIWOOLA
ADEMOLA CHIEF JUSTICE, NIGERIA
BRETT JUSTICE, SUPREME COURT
BAIRAMIAN JUSTICE, SUPREME COURT
PARTIES
L.A. MORAKINYO APPELLANTS
IBADAN CITY COUNCIL
RESPONDENTS
AREA(S) OF LAW
RIGHT TO A PENSION
SUMMARY OF FACTS
The appellant was employed by the Ibadan District Council and its predecessors in function from 1931 to 1958, and retired as a Clerk. Retiring benefits were granted to him by the Council, but the Council claimed to be entitled to withhold payment as a set-off in respect of loss of stores for which it held him responsible, and wrote to his bondsman demanding payment. He brought the present action in the Chief Magistrate’s Court claiming the sum made up of the gratuity and of monthly installments of his pension up to the date of his commencing proceedings. He failed before the Chief Magistrate and in the High Court. Still not satisfied, he further appealed to the Supreme Court.
HELD
The appeal was allowed. Judgment was entered for the plaintiff for the sum of £478-18-64 as claimed. The appellant had his costs in all three Courts, which was estimated at a total sum of 150 guineas.
ISSUES
Whether ‘a right to a pension’ means “a right to be granted a pension” or “a right to receive a pension once it has been granted.”
RATIONES DECIDENDI
BENEFITS IN A CONTRACT OF SERVICE
In a contract of service such as that between a local government council and its employees there may be many benefits, of which promotion is the most obvious one, which the employer is not obliged to grant in the first place, but which he cannot discontinue without good cause when once he has granted them.” Per BRETT,J.S.C.
RETIREMENT BENEFITS AS PART OF THE TERMS OF SERVICE
“We do not hesitate to hold that the Retirement Benefits Regulations also form part of the terms of service and that once a pension is granted it is part of the implied contractual obligations of the Council to pay it.” Per BRETT,J.S.C.
IMPORTANCE OF REGULATION 12 IN RESPECT OF PAYMENT OF PENSION
“As regards the payment of pension once granted, regulation 12 empowers a council to direct that a pension shall cease on the conviction of an ex-official, but the proviso to the regulation makes it obligatory to restore the pension with retrospective effect if the ex-official receives a free pardon.” Per BRETT,J.S.C.
IMPORTANCE OF REGULATION 12 IN RESPECT OF PAYMENT OF PENSION
“As regards the payment of pension once granted, regulation 12 empowers a council to direct that a pension shall cease on the conviction of an ex-official, but the proviso to the regulation makes it obligatory to restore the pension with retrospective effect if the ex-official receives a free pardon.” Per BRETT,J.S.C.
BENEFITS IN A CONTRACT OF SERVICE
In a contract of service such as that between a local government council and its employees there may be many benefits, of which promotion is the most obvious one, which the employer is not obliged to grant in the first place, but which he cannot discontinue without good cause when once he has granted them.” Per BRETT,J.S.C.
RETIREMENT BENEFITS AS PART OF THE TERMS OF SERVICE
“We do not hesitate to hold that the Retirement Benefits Regulations also form part of the terms of service and that once a pension is granted it is part of the implied contractual obligations of the Council to pay it.” Per BRETT,J.S.C
CASES CITED
Merchant v. Lee Conservancy Board (1874) L.R. 9 Ex. 60
STATUTES REFERRED TO

