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SAVANNAH BANK OF NIG. & ANOR VS AMMEL O. AJILO & ANORV

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SAVANNAH BANK OF NIG. & ANOR VS AMMEL O. AJILO & ANORV

Legalpedia Citation: (1989-01) Legalpedia 26981 (SC)

In the Supreme Court of Nigeria

Holden At Lagos

Fri Jan 27, 1989

Suit Number: SC 188/1987

CORAM


OBASEKI, JUSTICE SUPREME COURT

NNAMANI, JUSTICE SUPREME COURT

KARIBI-WHYTE, JUSTICE SUPREME COURT

KAWU, JUSTICE SUPREME COURT

BELGORE, JUSTICE SUPREME COURT

AGBAJE, JUSTICE SUPREME COURT

CRAIG, JUSTICE SUPREME COURT


PARTIES


SAVANNAH BANK OF NIGERIA LTD

DAVID B. ONI-ORISAN

APPELLANTS 


AMMEL O. AJILO

AMMELS PHOTO INDUSTRIES LIMITED

RESPONDENTS 


AREA(S) OF LAW


THE LAND USE ACT – GOVERNOR’S CONSENT – INTERPRETATION OF LAW

 


SUMMARY OF FACTS

The 1st plaintiff, a deemed grantee of land,  instituted action to set aside a deed of mortgage of his house to the 1st defendant on the ground of lack of consent of the Governor.

 


HELD


The court held that the mortgage was void for failure to obtain the Governor’s consent and that section 22 of the Land Use Act applied also to a deemed grant.

 


ISSUES


Whether the 1st respondent required the written consent or consent in writing previously obtained to mortgage his property called the mortgaged property to the 1st appellant having regard to the fact that the property was vested in the 1st respondent before the commencement of the Land Use Act, 1978 and by virtue of section 34(2) of the Act the 1st respondent continues to hold the land as if he is the holder of a statutory right of occupancy issued by the Military Governor under the Land Use Act

 


RATIONES DECIDENDI


WHETHER SECTION 22 OF THE LAND USE ACT APPLIES TO A DEEMED GRANT


A deemed grant under the Land Use Act is a grant by operation of law. An actual grant is a grant made by the activities of the Military Governor under the Land Use Act. Both the actual and the deemed grants being grants the deemed grants being regarded by the law as if made by the Military Governor also become subject to legal controls as if granted by the Military Governor –  Obaseki, J.S.C

 


CONSTRUCTION OF STATUTES


A statute should not be given a construction that will defeat its purpose. To exclude a holder of a deemed grant of statutory right of occupancy, the interpretation would defeat the purpose of the Act particularly the provision of section 22 –  Obaseki, J.S.C

 


CASES CITED


Nokes v. Doncaster Amalgamated Collieries Ltd. (1940) AC 1014

Lincoln College (1595) 3 Co. Rep 586 at p.596

Canada Sugar Refining Co. Ltd. v R (1898) AC 735

 


STATUTES REFERRED TO


The Land Use Act

 


CLICK HERE TO READ FULL JUDGMENT 

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