n Compulaw - 1st Indigenous Digital Law Library
Disable Preloader

CaseLaw

Ominiyi Vs. Alabi (2015) CLR 2(b) (SC)

Judgement delivered on February 25th 2015

Brief

  • Raising issue suo motu
  • Obiter dictum
  • Ratio decidendi
  • Specific performance
  • Fair hearing

Facts

A brief summary of the facts that led to the decision complained of are as follows: Sometime in 1993, the appellant purchased a parcel of land with a completed building of 4 flats thereon from the respondent at Osogbo, Osun State for N350,000.00. A sale agreement was prepared and executed by the parties (Exhibit E). In furtherance of the agreement the respondent also executed Exhibit A, titled "acknowledgment/ratification document". Letters of introduction/notice to quit (Exhibits C and C1) were written to the tenants of the building introducing the new owner. They were signed by the respondent. It was the appellant's case that the respondent failed to obtain the Governor's consent for the purpose of effectively transferring title of the property to him. He therefore instituted an action against him before the High Court of Osun State, sitting at Osogbo by a writ of summons dated 3rd April, 1995. By paragraph 12 of the statement of claim he sought the following reliefs:

  • 1
    Specific performance of an agreement between the plaintiff and the defendant dated 9th October, 1993 for the sale by the defendant to the plaintiff of all that piece or parcel of land measuring approximately 1332.005 square metres with the buildings thereon consisting of 4 flats and one uncompleted flat situate, lying and being at Old Ikirun Road, covered by survey plan no. RAB/655/OY/89.
  • 2
    An order directing the defendant to procure and tender to the plaintiff within thirty days from the date of judgment the consent of the Military Governor/Administrator of Osun State with a view to register deed of assignment.
  • 3
    An order directing the defendant to give account of all monies received as rents on the plaintiff’s property from December 1995 till the date of judgment.
  • 4
    An order of perpetual injunction restraining the defendant by himself, through his servants, agents, or any person however deriving authority from the defendant from dealing with or interfering with the plaintiff's occupation and peaceful enjoyment of the property.

The respondent, an accountant, denied any intention to sell the property to the appellant. His case was that he did not know the appellant before the transaction. That he approached one Mr. Adebagbo, PW1, who operated a finance company for a loan. That he deposited his plan and title documents with the said Mr. Adebagbo as security for the loan. When the money was ready PW1 insisted that he should sign Exhibits E & A. According to him, he was initially reluctant to sign when he realised that it was an agreement for the sale of his property. Although he signed Exhibits E, A, C & C1, he claimed that he signed upon a misrepresentation by agents of the appellant, Mr. Adebagbo and one Alhaja Abeke Babatunde (PW2), that the executed documents would be destroyed if he repaid the loan within the agreed three months.

The parties called witnesses and tendered documents. At the conclusion of the trial, the learned trial judge held that the transaction between the parties was an agreement for a loan and not for the sale of land. He however declined to exercise his discretion to grant an order for specific performance on the ground that there was a misrepresentation to the defendant by PW1 that Exhibits A & E, which he was persuaded to sign, were merely security for the loan and not intended to transfer ownership. The appellant's claims were accordingly dismissed.

On appeal to the Court of Appeal Ibadan Division, the lower court allowed the appeal in part. It disagreed with the trial court on the finding that the respondent signed Exhibits A & E as a result of misrepresentation. It however upheld the trial court's refusal to make an order of specific performance but on different grounds - that the claim was statute barred because it had been proved at the trial that Exhibit E, prepared in 1993, was backdated to 1977 in order to deceive the Governor into giving his consent to the transaction in the belief that the transaction took place before the promulgation of the Land Use Act of 1978.

The appellant, dissatisfied with the part of the judgment refusing to make an order for specific performance, filed a Notice of Appeal.

Issues

Whether the lower court was right in affirming the trial court's refusal to grant...

Read More