Governor’s Consent is one of the most important concepts in Nigerian land transactions. Buyers, sellers, developers and property investors frequently encounter the requirement when land or property is being transferred. A common mistake, however, is to assume that Governor’s Consent is required for every transaction involving land or that every property without a Governor’s Consent is automatically worthless. The legal position is more specific. Under the Land Use Act, the requirement principally arises in connection with the alienation of a statutory right of occupancy. Understanding when consent is required, what transactions trigger it and the consequences of failing to obtain it is essential before buying, selling, mortgaging or transferring property in Nigeria. What Is Governor’s Consent? Governor’s Consent is the consent of the Governor required under the Land Use Act for certain dealings with a statutory right of occupancy. Section 22(1) of the Land Use Act provides that the holder of a statutory right of occupancy granted by the Governor cannot alienate the right, or any part of it, by assignment, mortgage, transfer of possession, sublease or otherwise without first obtaining the Governor’s consent, subject to the exceptions contained in the Act. The requirement is therefore connected to the alienation of a statutory right of occupancy. It is not simply another document that every landowner must obtain before owning or possessing land. When Is Governor’s Consent Required? Governor’s Consent is generally required where the holder of a statutory right of occupancy seeks to alienate the right or an interest in it. This includes several important transactions. 1. Assignment of a Statutory Right of Occupancy An assignment involves the transfer of the holder’s interest in land to another person. For example, where A holds a statutory right of occupancy and agrees to transfer his interest in the property to B, the transaction will generally require the Governor’s consent under section 22 of the Land Use Act. This is one of the most common circumstances in which buyers encounter Governor’s Consent. 2. Mortgage of a Statutory Right of Occupancy Governor’s Consent is also relevant where a statutory right of occupancy is mortgaged. A property owner who wishes to use the property as security for a loan should therefore consider the applicable consent requirements before creating the mortgage. The Land Use Act contains a specific exception concerning the creation of a legal mortgage in favour of a person where an equitable mortgage over the right of occupancy has already been created with the Governor’s consent. 3. Sublease The grant of a sublease over land covered by a statutory right of occupancy can also require Governor’s Consent. Section 22 expressly includes sublease among the transactions requiring consent, while section 23 deals specifically with sub-underleases. 4. Transfer of Possession The requirement is not limited to documents labelled “Deed of Assignment.” Section 22 refers expressly to the transfer of possession and to alienation “otherwise howsoever.” The substance of the transaction therefore matters. A party should not assume that simply changing the name or form of the transaction eliminates the statutory requirement. When Is Governor’s Consent Not Automatically Required? Not every dealing with land falls under section 22. The requirement should be examined in light of the nature of the interest and the transaction. Customary Rights of Occupancy Customary rights of occupancy are dealt with separately under section 21 of the Land Use Act. Section 21 provides that a customary right of occupancy cannot generally be alienated by assignment, mortgage, transfer of possession, sublease or otherwise without the requisite consent or approval. For transactions other than the specified court-sale situation, the approval of the appropriate local government is required. Accordingly, it is incorrect to treat every land transaction in Nigeria as if section 22 automatically applies. The nature of the right of occupancy must first be established. Does Every Deed of Assignment Require Governor’s Consent? A Deed of Assignment involving the alienation of a statutory right of occupancy will generally require the relevant consent. However, the fact that a document is called a “Deed of Assignment” does not by itself answer every question about the transaction. A lawyer should establish: The nature of the interest being transferred; The root of title; Whether the interest is statutory or customary; Whether the transaction constitutes an alienation; Whether a statutory exception applies; The applicable state land administration requirements; and The steps required to perfect the transaction. This is particularly important because land transactions can involve different interests and stages of title. What Is the Difference Between a C of O and Governor’s Consent? A Certificate of Occupancy and Governor’s Consent serve different purposes. A Certificate of Occupancy is generally evidence of a grant or recognition of a right of occupancy. Governor’s Consent, on the other hand, concerns the required consent to a subsequent alienation of a statutory right of occupancy. For example, a person may hold a Certificate of Occupancy and subsequently sell or assign the property to another person. The subsequent assignment can trigger the requirement for Governor’s Consent. Therefore, a buyer should not assume that seeing the seller’s C of O means that the buyer’s acquisition is automatically perfected. Why Is Governor’s Consent Important to a Buyer? Suppose a seller shows a buyer a valid C of O. The buyer pays the purchase price and receives a Deed of Assignment. That does not necessarily mean that all statutory requirements relating to the transfer have been completed. Where the transaction requires Governor’s Consent, the consent forms an important part of the process of perfecting the buyer’s interest. This is why property buyers should consider not merely whether the seller has title, but also how the buyer’s own interest will be legally transferred and perfected. What Happens If Governor’s Consent Is Required but Not Obtained? Where Governor’s Consent is required under section 22 of the Land Use Act and the parties proceed to alienate a statutory right of occupancy without first obtaining the required consent, the transaction is null and void by virtue of section 26 of the Act.
How to Avoid Land Fraud in Nigeria
Buying land in Nigeria can be a significant investment, but it can also expose a buyer to serious financial and legal risks if proper precautions are not taken. Land fraud occurs in different forms, including the sale of land by persons who are not the true owners, forged title documents, multiple sales of the same property, impersonation, fraudulent family transactions and the sale of land affected by government acquisition or existing disputes. A buyer who relies solely on documents presented by a seller, an estate agent or a property marketer can lose substantial money before discovering that the transaction is defective. The safest approach is to treat every land purchase as a legal transaction requiring independent verification before payment. What Is Land Fraud in Nigeria? Land fraud generally involves the use of deception, false representations, forged documents, impersonation or other dishonest conduct to sell, transfer, obtain money for, or otherwise deal with land without a valid legal entitlement to do so. The fraud can be committed by an individual seller, an agent, a developer, a family member, a purported attorney or even several people acting together. Common examples include: Selling land belonging to another person. Selling the same parcel of land to multiple buyers. Using forged or altered title documents. Impersonating the true owner. Selling family land without the required authority. Using a fake Power of Attorney to sell property. Selling land that is under government acquisition. Misrepresenting the location or size of a property. Presenting a genuine document relating to a different property. Collecting money for land that does not exist. Using a fake survey plan or manipulating survey information. Concealing an existing court case or dispute over the property. Land fraud is therefore not limited to forged documents. A transaction can involve genuine documents and still be fraudulent if the person selling the property lacks the authority to sell it. Common Land Fraud Schemes Buyers Should Watch Out For 1. Selling Land the Seller Does Not Own One of the most straightforward forms of land fraud occurs when a person presents himself as the owner of land belonging to somebody else. The seller may produce receipts, agreements or other documents to make the transaction appear legitimate. A buyer should not assume that possession of documents establishes ownership. The history of the title and the seller’s authority to deal with the property must be independently investigated. 2. Double or Multiple Sales of the Same Land A fraudulent seller can sell the same parcel of land to more than one person. This is particularly dangerous where the first buyer has not properly documented, registered or taken possession of the property and another buyer subsequently enters the transaction. Before paying for land, the buyer should establish whether there are existing transactions, interests, claims or encumbrances affecting the property. 3. Forged Title Documents Fraudsters can produce apparently convincing copies of documents such as: Certificates of Occupancy; Deeds of Assignment; Survey Plans; Governor’s Consent documents; Allocation documents; Gazette documents; Receipts; and Letters purportedly issued by government authorities. The fact that a document looks official does not establish that it is genuine. Where title documents are relied upon, their authenticity and connection with the particular property should be independently verified. 4. Impersonation of the Property Owner A fraudster can impersonate the registered owner or another person with authority to dispose of the property. This risk is particularly important where the transaction is being conducted through intermediaries. A buyer should establish the identity of the person executing the transaction and confirm that the person has the legal authority to sell. 5. Fraudulent Family Land Transactions Family land requires particular caution. A person who presents himself as the head or representative of a family does not automatically have unlimited authority to sell every piece of family land. The buyer should establish: The history of the family’s title; The identity of the persons entitled to participate in the transaction; The authority under which the sale is being made; Whether the required family consent has been obtained; and Whether there is any dispute concerning the property. A transaction involving family land should therefore not be treated in the same way as a straightforward sale by an individual whose title and authority have been independently established. 6. Fake or Misused Power of Attorney A Power of Attorney authorises another person to act on behalf of the donor. It does not, by itself, establish that the donor owns the property. A buyer dealing with an attorney should therefore verify both: the donor’s title to the property; and the validity and scope of the Power of Attorney. The buyer should also confirm that the authority granted covers the particular transaction being undertaken. 7. Selling Land Under Government Acquisition Another serious risk is purchasing land affected by government acquisition or other government restrictions. A seller can describe a property as “free land” or “government-approved land” without providing the buyer with sufficient evidence. The buyer should independently investigate the property’s planning, survey and acquisition status before completing the purchase. 8. Selling One Property Using Documents Belonging to Another A genuine document can still be misleading if it does not relate to the property being sold. For example, a seller could present a genuine title document relating to one parcel while showing a buyer another parcel on the ground. This is why documentary verification must be connected to the physical location, survey description, boundaries and other identifying features of the property. Red Flags That Should Make a Buyer Stop and Investigate Certain circumstances should immediately trigger additional due diligence. The seller is pressuring you to pay immediately Statements such as “another buyer is coming today” or “you have to pay before the price increases tomorrow” should not cause a buyer to abandon legal due diligence. A legitimate transaction should withstand reasonable verification. The price is suspiciously low A price substantially below comparable properties does not automatically mean the property is fraudulent. However, an unusually low price should prompt questions about the property’s title,
Five Essential Legal Checks Before Buying Land in Nigeria
Five Essential Legal Checks Before Buying Land in Nigeria Purchasing land is one of the most significant investments an individual or business can make. Unfortunately, many prospective buyers lose substantial sums of money each year due to inadequate due diligence, fraudulent transactions, defective titles, and failure to comply with legal requirements. A parcel of land may appear attractive and even be physically available, yet still be subject to disputes, government acquisition, encumbrances, or competing ownership claims. Before committing to any land purchase, it is essential to conduct proper legal checks to ensure that the transaction is valid and that your investment is protected. At Lexforte Attorneys, we strongly recommend that every purchaser obtains professional legal advice before making payment or executing any property documents. Below are five critical legal checks every buyer should undertake before purchasing land in Nigeria. Verify the Seller’s Ownership and Capacity to Sell The first and most fundamental step is to confirm that the person offering the land for sale is the lawful owner or is legally authorised to sell the property. Request and carefully examine documents evidencing ownership, such as: Certificate of Occupancy (C of O)Deed of AssignmentDeed of ConveyanceRegistered Survey PlanCourt Judgment (where title was acquired through litigation)Letters of Administration or Grant of Probate (where the owner is deceased) Where the seller is acting on behalf of another person or a company, verify the authority under which the sale is being conducted. This may include a valid Power of Attorney, board resolution, or letters of administration. Purchasing land from a person without legal authority may result in the transaction being declared void, exposing the buyer to financial loss and lengthy litigation. Conduct a Title Search at the Appropriate Land Registry Never rely solely on the documents presented by a seller. A search should be conducted at the relevant State Land Registry to determine: Whether the title documents are genuine.Whether the land has been properly registered.Whether there are existing mortgages, charges, or other encumbrances.Whether ownership corresponds with the seller’s claims.Whether any restrictions affect the property. A land registry search provides valuable information about the legal status of the property and may reveal issues that are not immediately apparent from the documents presented by the seller. Confirm That the Land Is Free from Government Acquisition and Litigation Not every piece of land is available for private ownership. Some lands are: Under government acquisition.Reserved for public purposes.Subject to compulsory acquisition.Located within road setbacks or government schemes.The subject of pending court cases.Under customary ownership disputes. Where land is under acquisition or involved in litigation, purchasing such property may expose the buyer to prolonged legal battles or even complete loss of the investment. It is therefore important to investigate the status of the land through the appropriate government agencies and, where necessary, conduct independent enquiries within the community where the land is situated. Verify the Survey Plan and Physical Boundaries A Registered Survey Plan is one of the most important documents relating to land ownership. Before purchasing land: Confirm that the survey corresponds with the actual location.Ensure the boundaries are accurately identified.Verify that there is no overlap with neighbouring properties.Confirm that the coordinates do not fall within government-acquired land. Professional surveyors can also determine whether the land lies within committed acquisition, excised land, gazetted land, or freehold areas. A proper survey verification helps prevent future boundary disputes and protects against fraudulent land sales. Ensure Proper Documentation and Title Perfection Many buyers believe that payment alone gives them ownership of land. This is incorrect. After purchasing land, the transaction should be properly documented through legally recognised instruments such as: Contract of SaleDeed of AssignmentDeed of Lease (where applicable)Power of Attorney (where appropriate) Depending on the nature of the transaction, the purchaser may also need to: Obtain Governor’s Consent where required.Pay applicable stamp duties.Register the title documents at the relevant Land Registry.Perfect legal title in accordance with applicable land laws. Failure to perfect title may significantly affect the buyer’s ability to resell the property, obtain financing using the property as security, or successfully defend ownership against competing claims. Why Professional Legal Advice Matters Land transactions involve far more than signing documents and making payment. Every property carries its own legal history, risks, and regulatory requirements. A qualified property lawyer conducts due diligence, prepares and reviews documentation, identifies potential legal issues, and ensures that every stage of the transaction complies with applicable law. Obtaining legal advice before purchasing land can save buyers from costly mistakes, prolonged litigation, and avoidable financial losses. Conclusion Buying land is an investment that should never be approached casually. Taking the time to verify ownership, investigate title, confirm the property’s legal status, inspect survey details, and properly document and perfect the transaction can significantly reduce legal risks and protect your investment. At Lexforte Attorneys, we provide comprehensive legal services for land and property transactions, including property due diligence, title verification, land documentation, Governor’s Consent applications, title perfection, and property dispute resolution. Whether you are purchasing your first plot of land or acquiring commercial real estate, our experienced lawyers are committed to ensuring that every transaction is legally secure and completed with confidence. Need legal assistance with a land purchase? Contact Lexforte Attorneys today for professional advice and comprehensive property due diligence before you invest.