Many tenants in Nigeria pay a caution fee, security deposit or other form of deposit when taking possession of a rented property. The money is usually intended to protect the landlord against damage to the property, unpaid bills or other obligations of the tenant. The problem often arises when the tenancy ends and the landlord refuses to return the deposit. A tenant may hear statements such as: “The money is not refundable.” “It is part of the rent.” “You damaged the property.” “I will refund it when I am ready.” “The previous tenant never got theirs back.” Whether the landlord is entitled to retain the money depends on the nature of the payment, the tenancy agreement, the reason for the deduction, etc. A tenant who is entitled to a refund does not have to simply abandon the money. There are practical and legal steps that can be taken to recover it. What Is a Rent Deposit? The expression “rent deposit” is often used loosely in Nigeria to describe different payments made by a tenant. It is therefore important to establish exactly what the tenant paid. A payment described as a caution fee or security deposit is different from rent paid in advance. Caution Fee or Security Deposit A caution fee or security deposit is generally money held as security against specified obligations of the tenant. Depending on the agreement, it can be used to cover matters such as: damage caused by the tenant; unpaid utility bills; outstanding obligations under the tenancy agreement; missing items belonging to the landlord; or other losses expressly covered by the agreement. It is not ordinarily the same thing as rent. Rent Paid in Advance Rent paid in advance is consideration for the tenant’s occupation of the premises for the agreed rental period. It should not automatically be described as a security deposit. For example, if a tenant pays ₦2 million as one year’s rent, that ₦2 million is rent. If the tenant separately pays ₦200,000 as a caution fee, the ₦200,000 has a different legal character. This distinction becomes important when the tenancy ends. Is a Caution Fee Refundable in Nigeria? Generally, where a payment was genuinely made as a security or caution deposit, it is refundable subject to legitimate deductions authorised by the tenancy agreement or otherwise legally recoverable from the tenant. The landlord is not entitled to simply convert a security deposit into additional income because the tenancy has ended. The precise entitlement, however, depends on the agreement and the circumstances. The safest approach is to examine the document or receipt describing the payment. If the tenancy agreement expressly states that the caution fee is refundable at the end of the tenancy, subject to specified deductions, the tenant has a clear contractual basis for demanding its return. If the agreement is silent, the nature and purpose of the payment, the parties’ conduct and the surrounding circumstances become important. Can a Landlord Keep the Entire Deposit? Not simply because the tenant has vacated. A landlord who intends to retain all or part of a security deposit should have a legitimate basis for doing so. For example, the landlord can have grounds to deduct the reasonable cost of repairing damage actually caused by the tenant where the tenant is contractually responsible for that damage. The landlord should not treat ordinary deterioration resulting from normal use as though it were automatically compensable damage. The question is whether there is a legitimate loss for which the tenant is responsible. What Can a Landlord Deduct from a Security Deposit? The answer depends on the tenancy agreement and the applicable law. Common legitimate deductions can include: the reasonable cost of repairing damage caused by the tenant; unpaid utility bills attributable to the tenant; unpaid rent or other sums contractually owed; the cost of replacing missing items belonging to the landlord; and other amounts which the tenancy agreement validly permits the landlord to deduct. The landlord should be able to explain the basis of the deduction. A tenant should therefore ask the landlord for a breakdown where the landlord refuses to refund the entire deposit. Can a Landlord Deduct Money for Ordinary Wear and Tear? Ordinary wear and tear is different from damage caused by the tenant. A property naturally deteriorates through ordinary occupation. Examples can include: minor marks on walls; ordinary fading of paint; normal deterioration of fittings through age; reasonable wear to flooring; and other deterioration resulting from ordinary use. A landlord should not automatically charge the tenant for every change in the condition of the property. Where the landlord claims that the tenant caused damage, the tenant should request evidence of the alleged damage and the cost of rectification. What If the Landlord Says the Deposit Is Non-Refundable? The first question is: What exactly did the tenant agree to pay? The word “fee” alone does not necessarily determine the legal character of a payment. If the payment was expressly described in the tenancy agreement as a non-refundable fee, it must be distinguished from a payment expressly described as a refundable caution or security deposit. The court will look at the agreement and the circumstances surrounding the payment. A tenant should therefore not assume that every payment called a “caution fee” is automatically refundable without examining the agreement. Conversely, a landlord should not simply label a genuine security deposit “non-refundable” after receiving it if that is inconsistent with the parties’ agreement. What If There Is No Written Tenancy Agreement? The absence of a written tenancy agreement does not necessarily prevent a tenant from recovering a deposit. The tenant can rely on other evidence showing: that the money was paid; the amount paid; who received it; the purpose for which it was paid; the condition of the property; the circumstances in which the tenancy ended; and any agreement concerning repayment. Evidence can include: bank transfer records; receipts; WhatsApp messages; text messages; emails; photographs; videos; witness testimony; and communications with the landlord or agent. This is another reason why
Can a Tenant Refuse a Rent Increase in Nigeria?
A rent increase can put a tenant in a difficult position, particularly where the landlord proposes a substantial increase shortly before the tenancy is due for renewal. This raises an important question: Can a tenant refuse a rent increase in Nigeria? The answer depends on whether the increase is being proposed during an existing tenancy or in connection with a new tenancy, what the tenancy agreement provides, and the law applicable to the property. In Lagos State, the Tenancy Law 2011 provides a specific remedy for an existing tenant who considers an increase in rent unreasonable. Under Section 37, the tenant can apply to court for an order declaring the increase unreasonable, subject to the terms of the tenancy agreement. The court considers factors including the general level of rents in the locality or a similar locality, evidence from the parties and any special circumstances relating to the premises. A tenant therefore should not simply assume that every rent increase must be accepted, but neither should a tenant assume that every increase is automatically unlawful. Can a Landlord Increase Rent in Nigeria? Generally, a landlord can propose an increase in rent, subject to the terms of the existing tenancy agreement and any applicable law regulating the tenancy. The important question is when and how the increase is being imposed. A landlord cannot simply treat an existing tenancy as though it were a new tenancy and demand a different rent in the middle of an agreed fixed term unless the tenancy agreement or applicable law permits the increase. For example, if a tenant has paid ₦2 million for a one-year fixed tenancy running from January to December, the landlord cannot ordinarily announce in June that the rent has increased to ₦3 million and demand the additional ₦1 million immediately, unless there is a contractual or legal basis for doing so. The position is different when the existing tenancy is coming to an end and the landlord proposes a new rent for a new tenancy. Can a Tenant Refuse to Pay the Increased Rent? Yes, a tenant can refuse to accept the proposed increase. But the legal consequences depend on the circumstances. A tenant’s refusal does not automatically mean that the landlord has committed an offence or that the tenant has acquired an indefinite right to remain in the property at the old rent. If the existing tenancy has expired and there is no contractual right to renewal at the previous rent, the landlord can decide not to grant another tenancy at that rent. On the other hand, where the increase is imposed during an existing tenancy contrary to the tenancy agreement, or where the applicable law gives the tenant a right to challenge an unreasonable increase, the tenant has stronger grounds to contest it. Can a Landlord Increase Rent During an Existing Tenancy? The answer depends primarily on the tenancy agreement. If the agreement is for a fixed term at a specified rent and contains no rent review provision, the landlord ordinarily cannot unilaterally rewrite the agreement and impose a new rent before the agreed term expires. For example, if the agreement provides for a fixed annual rent of ₦2 million for a two-year term, the landlord cannot ordinarily increase the rent to ₦3 million after the first six months simply because property values have increased. However, some tenancy agreements contain rent review clauses. Where a valid rent review clause exists, the landlord’s right to increase the rent must be exercised in accordance with the clause. The tenant should therefore read the agreement before deciding whether an increase is lawful. What If the Rent Increase Is Proposed When the Tenancy Is Being Renewed? This is different from increasing rent during an existing fixed term. At the end of a fixed tenancy, the landlord and tenant can negotiate the terms of a new tenancy, including the rent. If the tenant has no contractual right to renew at the old rent, the landlord can generally propose a new rent as a condition for entering into a fresh tenancy. The tenant can reject the proposed rent. However, rejecting the new rent does not necessarily give the tenant a right to remain indefinitely at the old rent. The tenant must consider whether: the existing tenancy has expired; there is an option to renew; the renewal clause specifies how rent is to be determined; the landlord has validly determined the tenancy; and the landlord has complied with the applicable recovery-of-premises procedure. This is why a dispute about a rent increase at renewal can sometimes become a renewal and possession dispute, rather than simply a rent dispute. Can a Tenant Challenge an Unreasonable Rent Increase in Lagos? Yes. This is expressly provided for by Section 37 of the Lagos State Tenancy Law 2011. Section 37(1) provides that, subject to any agreement to the contrary, an existing tenant can apply to court for an order declaring that an increase in rent payable under the tenancy agreement is unreasonable. This is an important statutory protection. It means that where an existing tenant considers a proposed increase unreasonable, the tenant does not have to rely solely on negotiation with the landlord. The tenant can seek judicial determination of the reasonableness of the increase. What Does the Court Consider When Determining Whether Rent Is Unreasonable? Section 37(2) of the Lagos State Tenancy Law identifies factors the court is to consider. These include: 1. The General Level of Rent in the Locality The court can consider what comparable properties in the same locality are being rented for. This is important because a landlord cannot establish that an increase is reasonable merely by asserting that the property has become more valuable. Evidence of comparable rents can assist the court in determining whether the proposed rent is excessive. 2. Evidence of the Parties The court can consider evidence presented by both the landlord and tenant. This can include evidence relating to the property, the existing rent, the proposed increase and comparable rental values.
What to Do When a Landlord Refuses to Renew a Tenancy Agreement in Nigeria
A tenant who has occupied a property for several years can understandably expect to remain in the property when the tenancy expires, particularly where rent has always been paid promptly and the tenant has complied with the terms of the tenancy agreement. However, a tenant does not automatically acquire a right to renew a tenancy simply because the tenant has been a good tenant or has occupied the property for a long period. The starting point is the tenancy agreement. If the agreement gives the tenant an option or right to renew, the landlord’s refusal to renew can raise a contractual issue. If there is no such provision, the landlord is generally not required to grant a new tenancy merely because the tenant wants to remain in the property. The position also differs depending on whether the existing tenancy is a fixed-term tenancy, a periodic tenancy, or a tenancy that has already expired. This article explains what a tenant should do when a landlord refuses to renew a tenancy agreement in Nigeria, with particular attention to the legal position in Lagos State. Does a Tenant Have an Automatic Right to Renew a Tenancy? No. The expiration of a tenancy does not automatically give the tenant a right to another term. A tenancy is a contractual relationship. Where the agreed term expires, the tenant’s contractual right to occupy the premises ordinarily comes to an end unless: the tenancy agreement provides for renewal; the parties enter into a new agreement; the tenant validly exercises an existing option to renew; or the conduct of the parties creates a new tenancy or other legally recognised relationship. The Court of Appeal has recognised this principle in Oteri Holdings Ltd v. Heritage Banking Company Ltd (2020) LPELR-50802(CA), where a tenant sought to continue occupying premises after the expiration of a fixed-term lease containing an option to renew. The court emphasised that the tenant’s intention to renew did not itself create a renewed tenancy. Therefore, a tenant should not assume that a landlord is legally required to renew simply because the tenant has occupied the property for many years. What Is an Option to Renew? An option to renew is a contractual provision giving a tenant a right to seek or obtain a further term in accordance with the conditions stipulated in the tenancy agreement. The precise wording of the clause is critical. For example, an agreement might provide: “The tenant shall have an option to renew the tenancy for a further term of three years.” Another agreement might state: “The landlord shall grant the tenant a further term upon written notice given three months before expiration, subject to the tenant complying with the terms of the tenancy.” These clauses do not necessarily produce identical legal consequences. The court will examine the actual agreement to determine what rights the parties created. Can a Landlord Refuse to Renew Where the Tenant Has an Option to Renew? Not necessarily. Where the tenancy agreement contains a valid option to renew, the landlord’s ability to refuse renewal depends on the wording and conditions of the option. The tenant must first determine: whether the agreement actually grants an option to renew; when the option must be exercised; how the option must be exercised; whether written notice is required; whether the tenant must give notice within a specified period; whether payment of rent must be up to date; whether compliance with other covenants is a condition of renewal; whether the new rent is predetermined or subject to negotiation; and whether the landlord’s consent is required. The courts have repeatedly held that a tenant seeking to exercise an option to renew must comply with the conditions governing its exercise. In Oteri Holdings Ltd v. Heritage Banking Company Ltd, the Court of Appeal relied on the Supreme Court decision in Conoil Plc v. Dutse (2016) LPELR-40236(SC) and other authorities on the strict compliance required for exercising an option to renew. What If the Tenancy Agreement Does Not Contain a Renewal Clause? Where the tenancy agreement contains no right or option to renew, the tenant generally cannot compel the landlord to enter into a fresh tenancy simply because the tenant wishes to remain. The landlord can decide not to grant a new tenancy, subject to the applicable law governing the termination and recovery of possession. The tenant’s proper response is therefore not to insist that the landlord must renew the agreement, but to determine: whether the existing tenancy has expired; whether the landlord has complied with the applicable notice requirements; whether the tenant has any contractual right to renewal; and whether any other legal circumstances protect the tenant’s continued possession. Can a Landlord Refuse Renewal Because the Tenant Is in Rent Arrears? Yes. Where the tenancy agreement makes compliance with the tenant’s obligations a condition of renewal, substantial arrears or other breaches can affect the tenant’s ability to exercise an option to renew. This was an important consideration in Oteri Holdings Ltd v. Heritage Banking Company Ltd, where the tenant sought to continue in possession but had outstanding obligations. The court considered the contractual conditions governing renewal and the tenant’s failure to establish a valid renewal. A tenant who wants to rely on an option to renew should therefore ensure that all conditions attached to the option have been satisfied. What If the Tenant Has Always Paid Rent on Time? Regular payment of rent is important, but it does not by itself create a permanent right to renewal. A tenant who has paid rent regularly for ten or twenty years does not automatically acquire a right to another tenancy merely because of that history. The question remains whether the tenant has a contractual or statutory right to continue in possession. A good tenancy record can, however, be relevant to negotiations with the landlord and to the circumstances of a dispute. What If There Is No Written Tenancy Agreement? The absence of a written tenancy agreement does not mean that there is no tenancy or that
How Much Notice Must a Landlord Give a Tenant in Nigeria?
One of the most common questions in landlord and tenant disputes in Nigeria is: how much notice must a landlord give a tenant before asking the tenant to leave? There is no single notice period that applies to every tenancy in Nigeria. The required notice depends principally on the type of tenancy, the terms of the tenancy agreement and the law applicable in the state where the property is located. For example, under the Lagos State Tenancy Law 2011, where the tenancy agreement does not stipulate the period of notice required to determine the tenancy, the statutory periods are one week for a tenant at will, one month for a monthly tenant, three months for a quarterly tenant, three months for a half-yearly tenant and six months for a yearly tenant. However, these statutory periods should not be applied mechanically. The first document a landlord should examine is the tenancy agreement. Is There a Uniform Notice Period for Tenants in Nigeria? No. Landlord and tenant law is not governed by one uniform notice period applicable throughout Nigeria. Different states have different legislation governing the recovery of premises, and the applicable procedure also depends on the nature of the tenancy. Consequently, a landlord in Lagos should not automatically apply the notice period applicable in Abuja, Rivers State, Anambra State or another jurisdiction. The location of the property must first be established. How Much Notice Must a Landlord Give in Lagos State? For premises to which the Lagos State Tenancy Law 2011 applies, Section 13(1) provides the following statutory periods where there is no stipulation as to the notice to be given by either party: Type of tenancy Statutory notice Tenant at will 1 week Monthly tenancy 1 month Quarterly tenancy 3 months Half-yearly tenancy 3 months Yearly tenancy 6 months These are default periods. They apply where the tenancy agreement does not stipulate the notice required to determine the tenancy. This is an important point because it is often incorrectly stated that every yearly tenant in Lagos is automatically entitled to six months’ notice. The correct position is more nuanced: six months is the statutory default where the agreement does not stipulate a different period. Does the Tenancy Agreement Determine the Notice Period? Yes, subject to the applicable law. Section 13(1) of the Lagos State Tenancy Law expressly begins with the words “where there is no stipulation” as to the notice to be given. Therefore, where the parties have validly agreed on the notice period in their tenancy agreement, that contractual provision is important in determining the period required to terminate the tenancy. For example, if a tenancy agreement provides that either party must give three months’ notice to terminate the tenancy, the landlord should not simply assume that six months’ notice is required because the tenant pays rent yearly. The agreement must first be examined. Why the Tenancy Agreement Matters Two tenants paying rent yearly can therefore potentially be subject to different notice provisions where their tenancy agreements contain different termination clauses. For this reason, landlords should not issue a notice to quit merely by relying on the period for which rent is paid. The agreement should be reviewed first. How Much Notice Must a Monthly Tenant Receive? Where the Lagos State Tenancy Law applies and the tenancy agreement does not stipulate a different period, a monthly tenant is entitled to one month’s notice. For example, if the tenancy is monthly and there is no contractual provision dealing with notice, the landlord cannot simply give the tenant seven days to vacate. The statutory period is one month. How Much Notice Must a Quarterly Tenant Receive? A quarterly tenant is entitled to three months’ notice where the tenancy agreement is silent on the period of notice. The same statutory period applies to a half-yearly tenant under Section 13(1) of the Lagos State Tenancy Law 2011. How Much Notice Must a Yearly Tenant Receive? Where the Lagos State Tenancy Law applies and the tenancy agreement does not provide otherwise, a yearly tenant is entitled to six months’ notice. This is the source of the commonly quoted rule that a landlord must give a yearly tenant six months’ notice. However, it is important to emphasise that the six-month period is the statutory default under Section 13(1)(e). It should not be presented as an absolute rule applying regardless of the tenancy agreement. How Much Notice Must a Tenant at Will Receive? Where the Lagos State Tenancy Law applies and there is no stipulation as to notice, a tenant at will is entitled to one week’s notice under Section 13(1)(a). A tenancy at will is different from a monthly or yearly tenancy. The nature of the tenancy should therefore be properly established before determining the notice required. What If the Tenancy Is for a Fixed Term? A fixed-term tenancy is treated differently. Where a tenancy is for a specified fixed period, the tenancy ordinarily comes to an end by effluxion of time when the agreed term expires. Under Section 13(5) of the Lagos State Tenancy Law 2011, no notice to quit is required once a fixed-term tenancy has been determined by effluxion of time. However, where the landlord intends to go to court to recover possession after the fixed term has expired, the landlord must serve the required seven-day written notice of intention to apply to recover possession. This distinction is extremely important. Example Suppose a tenant is granted a one-year fixed tenancy from 1 January 2026 to 31 December 2026. If the tenancy expires on 31 December 2026 by effluxion of time, the landlord does not have to serve a six-month notice to quit merely to bring the fixed term to an end. If the tenant remains in possession after the expiry of the fixed term and the landlord intends to commence proceedings for possession, the statutory procedure applicable to recovery of premises must then be followed, including the requisite seven-day notice of intention to recover possession. What Is the Difference Between a
Can a Landlord Evict a Tenant Without a Court Order in Nigeria?
A landlord does not have the right to remove a sitting tenant from rented premises by force or through self-help merely because the tenancy has expired, rent is owing, or the landlord wants the property back. The general rule is that where a tenant remains in possession and refuses to surrender the premises, the landlord must follow the applicable statutory procedure for recovery of possession and, where the tenant does not vacate, obtain an order of a competent court for possession. This means that a landlord should not simply change the locks, remove the tenant’s belongings, disconnect electricity or water, demolish part of the premises, or use force to drive the tenant out. However, there is an important distinction between recovering possession from a sitting tenant and retaking possession of premises that have genuinely been surrendered or abandoned. This article focuses principally on Lagos State, where the issue frequently arises. The applicable law can differ from one state to another, so landlords and tenants outside Lagos should consider the tenancy legislation applicable in their particular state. Can a Landlord Evict a Tenant Without a Court Order? Generally, no. Where a tenant is still in possession of the premises, a landlord cannot lawfully resort to self-help to eject the tenant. The landlord must follow the applicable recovery-of-premises procedure. In the ordinary case, this involves the appropriate notice to terminate the tenancy, followed by the requisite notice of intention to recover possession and, where the tenant still refuses to vacate, proceedings before the appropriate court. The court then determines whether the landlord is entitled to possession and, where appropriate, makes an order for possession. The principle is particularly important because the landlord’s ownership of the property does not entitle the landlord to forcibly dispossess a tenant who is in lawful possession. What Is Self-Help Eviction? Self-help eviction occurs where a landlord attempts to recover possession without following the legally prescribed process. Examples include: changing the tenant’s locks; removing the tenant’s belongings; locking the tenant out of the premises; disconnecting electricity or water to force the tenant to leave; removing the roof or part of the building; physically removing the tenant; threatening or harassing the tenant into surrendering possession; demolishing or damaging the premises to force the tenant out; and employing thugs or other persons to eject the tenant. A landlord who is entitled to possession does not thereby acquire the right to recover possession by force. Does Expiration of the Tenancy Allow a Landlord to Remove the Tenant Immediately? No. The expiration of a tenancy does not, by itself, authorise a landlord to physically eject a tenant who remains in possession. The landlord must comply with the applicable notice requirements and recovery-of-premises procedure. This is an important distinction. For example, if a yearly tenancy expires on 31 December and the tenant remains in occupation thereafter, the landlord cannot simply arrive on 1 January, change the locks and remove the tenant’s property. The landlord must take the legally prescribed steps to recover possession. What Notice Must a Landlord Give Before Evicting a Tenant? The required notice depends on the nature of the tenancy, the terms of the tenancy agreement and the applicable law. Under the Lagos State Tenancy Law framework, where the parties have not agreed on a different period, the statutory periods traditionally applicable are: Weekly tenancy: one week; Monthly tenancy: one month; Quarterly or half-yearly tenancy: three months; and Yearly tenancy: six months. The tenancy agreement should always be examined first because the contractual terms can be important in determining the applicable notice. After the appropriate notice to quit has expired, the landlord may also need to serve the prescribed seven-day notice of intention to recover possession before commencing recovery proceedings. Therefore, it is incorrect to state that every Lagos tenant must always receive six months’ notice. The applicable period depends on the tenancy and the governing agreement and law. Does a Landlord Need a Court Order After Serving the Required Notices? Yes, where the tenant remains in possession and refuses to give up possession. Serving a notice does not itself physically evict the tenant. The purpose of the notice is to terminate the tenancy or otherwise put the tenant on notice of the landlord’s intention to recover possession. If the tenant does not vacate, the landlord must commence the appropriate recovery proceedings. The court then determines whether possession should be recovered. This is why a landlord who has served all the correct notices should not take matters into their own hands when the tenant refuses to leave. The proper response is to commence recovery proceedings. Can a Landlord Change the Locks After the Tenancy Expires? A landlord should not change the locks to forcibly exclude a sitting tenant who has not surrendered possession. The expiration of the tenancy gives the landlord a basis to seek possession, but it does not turn self-help into a lawful method of eviction. The same principle applies where the tenant is in arrears of rent. A landlord who is owed rent has legal remedies for recovering the rent and, where appropriate, possession of the premises. Those remedies should be pursued through the applicable legal procedure. Can a Landlord Disconnect Electricity or Water to Evict a Tenant? No. A landlord should not disconnect essential services as a means of forcing a tenant to leave. The same applies to deliberately damaging the premises or interfering with the tenant’s peaceful enjoyment of the property. The proposed Lagos State Tenancy and Recovery of Premises Bill 2025 contains particularly explicit provisions against conduct such as cutting off utilities, damaging premises and forcibly ejecting tenants. However, it is important not to confuse that Bill with the law currently in force. The Lagos State Government itself previously clarified that reports claiming that a new tenancy law had already been enacted were false. Important Update on the Lagos Tenancy Law There has been considerable confusion about the alleged 2025 amendment to the Lagos Tenancy Law. In May 2025, the Lagos State Government