MRS. COMFORT SOLARU V IGBOBI DEVELOPMENT COMPANY LIMITED

CORAM

CHINWE EUGINIA IYIZOBA, JUSTICE COURT OF APPEAL

PARTIES

MRS. COMFORT SOLARU (BENEFICIARY AND PERSONAL REPRESENTATIVE OF THE ESTATE OF ADEBANJO ODUNNEYE SOLARU) APPELLANTS

IGBOBI DEVELOPMENT COMPANY LIMITED RESPONDENTS

AREA(S) OF LAW

SUMMARY OF FACTS

The Respondent unilaterally reviewed the rent upward from 65 Nigerian Pounds to N25, 000 per annum in respect of a plot of land No. 63, Tinubu Road, Palm Grove Estate, llupeju, Lagos. The Defendant/Appellant refused paying same because there was no rent review clause in the said lease agreement. The Claimant/Respondent therefore instituted an action against the Defendant/Appellant seeking a declaration that he had the unilateral right to review the reserved rent on the above property upwards in the absence of the rent review clause. The trial Court entered judgment for the Claimant/Respondent. Piqued by the decision of the trial Court, the Defendant/Appellant appealed to the Court of Appeal. The Respondent filed a notice to the effect that the judgment of the trial Court should be affirmed on other grounds because there was no privity of contract between her and the  Defendant/Appellant thus stripping the Defendant /Appellant of the locus standi to prosecute the suit.

HELD

Appeal Allowed.

ISSUES

1. Whether in the absence of a Review Clause in Exhibit CI, C2, and C3, the Respondent has the right to review the reserved rent in the said exhibits.?

2. Whether the Respondents Notice is the appropriate Process to raise the grounds contained therein” ?

RATIONES DECIDENDI

LEASES-RENT REVIEW CLAUSES-WHETHER LANDLORD CAN UNILATERALLY REVIEW RENT IN THE ABSENCE OF A RENT REVIEW CLAUSE

The payment of rent is one of the implied conditions or terms of any leasehold. Section 65 (a) of the Registered Land Law Cap. R1 Laws of Lagos State, 2003, provides in that wise that-
“Save as otherwise expressly provided in the lease, there shall be implied in every lease, agreement by the lessee with the lessor binding the lessee-
(a) To pay the rent reserved by the lease at the times therein mentioned” PER IKYEGH J.C.A

CASES CITED

Adekeye V. Akin – Olugbade (1987) 3 N.W.L.R. (pt. 60) 214 at 226African Continental Seaways V. Nigerian Dredging Roads and General Works (1977) 5 S.C. 235 at 247,Delta State Govt, V. Okon (2002) 2 NWLR (pt 752) 665Eliochin V. Mbadiwe (1986) 1 N.W.L.R. (pt. 14) 47L.C.C. V. Ajayi (1970) 1AII N.LR 291at 296Oguma V. I. B. W. A. (1988) I N.W.L.R. (pt. 73) 653,Ogunbadejo V. Owoyemi (1993) 1 NWLR (pt. 271) 517Oyokan V. B.P. (Nig) Ltd. (1972) 1 All N.LR. (pt.l) 47,Williams V. Daily Times (1990) 1 NWLR (pt. 124) page 1

STATUTES REFERRED TO

1. Court of Appeal Act, 1976

2. Court of Appeal Rules, 2011

3. Registered Land Law Cap. R1 Laws of Lagos State, 2003

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