Task on Property Law

COUNCIL OF LEGAL EDUCATION

NIGERIAN LAW SCHOOL

LAGOS CAMPUS

PROPERTY LAW PRACTICE DEPARTMENT

2015/2016 SESSION (NOVEMBER SET)

WEEK 3: GENERAL OVERVIEW & LEGAL FRAMEWORK

SCENARIO & TASKS FOR NOVEMBER 18 2015

Mr Bashir Kitunde is a retired Nigerian Army Colonel and lives at 23, Uguru Street, Yaba, Lagos. He is the owner of the two plots of land at 55 Ladoke Lane, Ikeja, Lagos, covered by the Certificate of Occupancy No 864500 dated 11/11/2008 and registered as 23/23/2008B in the Lands Registry, Ikeja, Lagos. He purchased the property in 2008, and in 2009, he erected a block of nine flats on the property. He retired in May 2014 and obtained a loan of N250 million from Skye Bank Plc of 27, Marina, Lagos, and used the property at 55, Ladoke Lane, Ikeja, Lagos as the collateral. In July 2014, he purchased the following properties with the loan he obtained from Skye Bank:

-          a four bedroom bungalow in Enugu, Enugu State;

-          a duplex in Ilorin, Kwara State;

-          a block of four flats at Sapele, Delta State, and

-          a three-bedroom bungalow at 119 Balogun market Road, Obalende, Lagos.

Now, with a view to raising money to repay the loan he took from Skye Bank and also to establish himself in business, Mr Kitunde has concluded plans to undertake the following transactions:

-          to create a term of six (6) years over the property in Enugu in favour of Ogui Fish Farmers Microfinance Bank Limited currently having its head office at 34, Lam Crescent, Ogui, Enugu; rent is N6 million per annum.;

-          to obtain a loan of N50 million from GTBank of 16, Adeyemo Alakija, Victoria Island, Lagos, and to use the property at Sapele as security for the loan;

-          to transfer his unexpired residue in the property at Obalende to the Lord’s Chosen Church, a body registered under Part C of the Companies & Allied Matters Act, Cap C20, LFN, 2004 for N200 million only; and

-          to create a term of three years over the property in Ilorin in favour of Alhaji  Kam Saliu of 67, Gudu Street, Ilorin, Kwara State.

Mr Kitunde wants DonPad Properties Limited of 100, Government Secondary School Road, Ilorin, to handle the transactions in respect of the properties outside Lagos, on his behalf. The Company is owned by Mr Kitunde’s classmate in the university, Mr Don Padua. Mr Kitunde is undecided on how else to use the property at Ikeja, Lagos to raise some more money, in view of the fact that the property is still the subject of a subsisting mortgage with Skye Bank.

Mr Kitunde had earlier in October 2014 instructed Mr Sam Duru (a solicitor) to document his (Mr Kitunde’s) instructions on disposition of his estate, to take effect after his death, with the following persons as his personal representatives: Mrs Uju Kitunde (Mr Bashir Kitunde’s wife), Miss Jane Bom of 12, Ajah Road, Lekki, Lagos (Mr Kitunde’s sister), and Mr Leke Jibril of 54, Ojota Close, Surulere, Lagos (Mr Kitunde’s brother); Mr Duke Obey of 56, Marina, Lagos and Miss Aminat Kitunde (12 yrs old) who is Mr Kitunde’s youngest daughter.

Answer the following questions, based on the above scenario:

1.      Identify the various property Law Practice jurisdictions in Nigeria, and the specific States/areas covered by each jurisdiction.

2.      Identify, in the correct sequence, the nature of each of the transactions carried out or contemplated in the above scenario and specify the parties to each of them.

3.       State the various laws and taxes that would apply to each of the identified transactions, and mention the authorities responsible for collecting the various taxes.

4.      Advise the parties in each transaction on the various documents that may need to be prepared in respect of each of the transactions and state who should be responsible for preparing the documents.

5.      Assuming you were engaged as a legal practitioner in respect of the above-mentioned transactions, list out thirteen different ethical or professional responsibilities you owe your client or clients. You must support each point with statutory or judicial authorities.

6.      Assuming Mr Kitunde is now dead, state the nature of the various grants that may be obtained in respect of his estate, and mention the persons that would have the responsibility/authority to apply for the mentioned grants.

7.      Assuming Mr. Kitunde decides to create a lease in respect of the property in Ikeja, Lagos in favour of the Association of Ikeja Dwellers, an unregistered body, (having Siasia Show and Oliseh Jumbo as the President and Secretary respectively), advise Mr Kitunde on how this would be legally possible, in view of the subsisting mortgage on the property, and having regard to relevant existing laws in Lagos State.

      INSTRUCTIONS:

1.                   All groups to consider ALL questions in groups.

2.                   Answers to group questions MUST be submitted online to plp@lawschoollagos.org not later than 9pm on Tuesday, 17 November 2015.

3.                   Hard copy to be submitted to any of the lecturers in the department not later than 9am on Wednesday, 18 November 2015.

4.                   Each student MUST study the topic (general overview and applicable laws in property law practice) in advance, and get ready for presentations in class and to answer questions on the topic as well as on the above tasks.

5.                   Some relevant reading materials:

a)      Real Property Law & Practice In Nigeria (published in 2014 (by Felicia O. Eimunjeze);

b)       Understanding Legal Drafting & Conveyancing) (2012 edition, by Sylvester Imhanobe);

c)       Property Law Practice In Nigeria (3^rd edition 2105 by Y.Y Dadem);

d)      Source Book On Property Law Practice (by Ada Odor & F.J. Oniekoro ).

The end