REVOCATION OF A STATUTORY RIGHT OF OCCUPANCY UNDER THE LAND USE ACT, 1978

The enactment of the Land Use Act, 1978 (“the Act”) birthed a new system wherein all lands within the territory of a state are vested in the governor of that state who shall hold the same in trust for the benefit of the people.

Thus, a person cannot own a land but rather is conferred with a right to occupy the land for a certain time.

This article will examine the following:

a)????Nature of Statutory Right of Occupancy;

b)????Revocation of Statutory Right of Occupancy;

c)????Procedure for Revocation of Statutory Right of Occupancy; and,

d)????Compensation for Revocation.

A.??NATURE OF A STATUTORY RIGHT OF OCCUPANCY.

Statutory Right of Occupancy is a right of occupancy granted by the Governor under this Act. Section 51 of the Act

Statutory right of occupancy granted by the Governor shall be for a definite term and may be granted subject to the terms of any contract may be made by the Governor and the holder. Section 8 of the Act

The rights conferred on a holder of a statutory right of occupancy include the following:

1. ?Exclusive rights to the land, which is enforceable against all persons except the governor of the state where the land is situated. Section 14 of the Act
2. ??Sole right to absolute possession of all improvements on the land. Section 15a of the Act
3. ??Right to transfer, assign and mortgage any improvement on the land subject to the provisions of the act. Section 15b of the Act
4. ???Right to be compensated in the event the land is acquired by the governor for public purposes. Section 29(1) of the Act

The High Court shall have exclusive original jurisdiction in respect to proceedings relating to a statutory right of occupancy granted by the Governor under the Act. Section 39 of the Act

?B.??REVOCATION OF STATUTORY RIGHT OF OCCUPANCY (Section 28)

The Governor is statutorily empowered to revoke a right of occupancy for overriding public interest.

?Overriding public interest has been defined to mean:

?(a) the requirement of the land by the Government of the State or by a Local Government in the State, in either case for public purposes within the State, or the requirement of the land by the Government of the Federation for public purposes of the Federation;

(b) the requirement of the land for mining purposes or oil pipelines or any purpose connected therewith.

(c) The requirement of the land by the Federal Government upon the issue of notice to the Governor.

Also, the Governor may revoke a statutory right of occupancy on the ground of –

(a) a breach of any of the provisions which a certificate of occupancy

(b) a breach of any term contained in the certificate of occupancy or any special contract made under section 8;

(c) a refusal or neglect to accept and pay for a certificate that was issued in evidence of a right of occupancy but has been canceled by the Governor.

The title of the holder of a right of occupancy shall be extinguished on receipt of a notice of revocation or such later date as may be stated in the notice. Section 28(6) of the Act.

C.??PROCEDURE FOR REVOCATION OF STATUTORY RIGHT OF OCCUPANCY Section 44 of the Act

Revocation of a right of occupancy is executed by sending a notice of revocation to the holder of the right of occupancy.

The notice is required to be signed by a public officer duly authorized by the Governor and the title of the holder of the right of occupancy will cease once the notice is received by him or on any other date stated in the notice. Section 28(7) of the Act

The law requires any notice to the holder of a right of occupancy to be served on the person in any of the following ways:

1. ????By delivery to the holder personally;
2. ????By?leaving at the usual or last known place of abode of the holder;
3. ????By sending via prepaid registered post addressed to the holder at his usual or last known place of abode;
4. ??In the case of a corporate entity or company, by delivery to the company secretary or clerk or by sending via prepaid registered post addressed to the registered or principal office or by sending in a prepaid registered letter addressed to the secretary or clerk of the company;

Where it is not practicable to ascertain the name and address of the holder or the occupier of land then the notice may be addressed to the person as “holder” or “occupier” and by delivery to a person on the premises.

Where there is no one on the premises to take delivery of notice then it may be affixed on a conspicuous part of the premises.

Failure to comply with the aforesaid procedure renders the revocation invalid. In Osho v. Foreign Finance (1991) 4NWLR (Pt.184) 157, the Supreme Court held that the notice of revocation not having been duly served on the plaintiff was invalid.

Also, in Nitel v. Ogunbiyi (1992) 7NWLR (Pt. 255) at 543, the Court of Appeal nullified a revocation notice that was not personally served on the property owner at the address known to the Government.

D.??COMPENSATION FOR REVOCATION (Section 29 of the Act)

Where a right of occupancy is revoked, the holder will be entitled to compensation by the law based on the value of the unexhausted improvements made to the land.

If a right of occupancy is revoked for public purposes or mining purposes, the occupier shall be entitled to compensation under the appropriate provisions of the Minerals Act or the Mineral Oils Act or any legislation replacing the same.

Any dispute as to the amount of compensation calculated shall be referred to the appropriate Land Use and Allocation Committee. Section 30 of the Act

CONCLUSION

It is without a doubt that the Governor has the statutory power to revoke a Statutory Right of Occupancy. However, the exercise of that power must comply with the laid down procedures as stipulated by the Land Use Act.