The Appellant was a Senior Nursing Sister in the employment of the Respondent - the Nigeria Airways Ltd. Indeed, she rose from the post of Nursing Sister to the post of Senior Nursing Sister, within a few years of her joining the services of the Respondent. It was part of the conditions of her service, that she was provided with accommodation - a detached duplex building at No. 15 Ayoade Coker Street, G.RA, Ikeja. The rent she paid was N25 per month and the arrangement was that the sum was deductible from her salary.

However, by a letter dated 27th December, 1977, the Appellant's employment with the Respondent was determined, but notwithstanding the termination of her employment, she continued to hold over the premises. While the Appellant sued the Respondent for damages for breach of contract of Service (this is not a mat¬ter for this appeal) the Respondent counter-claimed for mesne profits, at the rate of N13,500.00 per annum. It is this claim (or rather counter-claim for mesne profits) that is the subject matter of this appeal.

The Trial Court, Akintola Ejiwumu J., after stating the facts, and examining the exhibits tendered in the case, and the submissions of learned counsel, held that the appointment of the appellant was wrongfully terminated. As regards the counter- claim, which is the only pertinent material in this case, the learned trial Judge was of the view that the important question to be considered was whether the amount of N25 per month as rent represented the fair value of the premises. He then referred to the Rent Control State Recovery of Residential Premises Edict of 1976 No. 15, which, according to the judge put the rent payable in respect of premises of this kind at N13,500 per annum. He found for the Respondent and awarded mesne profits to the Respondent at the rate of N13,500.00 per annum until the date of the judgment or when possession was delivered, if such delivery of possession occurred before the date of the judgment.

Appellant appealed to the Court of Appeal where her appeal was dismissed. The appellant further appealed to the Supreme Court.