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