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CERTIFICATE OF OCCUPANCY IS IN SUBSTANCE A TERM OF YEARS MAKING IT A LEASE

Dictum

What is the legal basis of a certificate of occupancy? A holder of a certificate of occupancy holds the title to the property and subject only to the conditions stipulated in the Land Use Act. A certificate of occupancy creates a term of years absolute or a lease for a number of years stated therein. See Chiroma vs. Suwa (1986) 1 NWLR (pt. 19) 751. The greatest legal estate that can now subsist under the Land Use Act is a term of years. The grant of a term of years under a certificate of occupancy is in substance a lease. See Dr Otti vs. Attorney-General of Plateau State (1985) HCNLR 787.

— N. Tobi, JSC. Ezennah v Atta (2004) – SC.226/2000

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MILITARY GOVERNOR CAN ONLY GRANT RIGHTS OF OCCUPANCY

Having removed the radical title from Nigerians, it has vested the control and management of the land in each state in the Military Governor in the case of land in the urban areas (see section 2(1)(a) and in the Local Government in the case of non-urban areas (see section 2(1)(b). The only interests in land the Military Governor and the Local Government can lawfully grant are rights of occupancy. (See sections 5 and 6). These rights of occupancy fall into two categories, namely (a) statutory right of occupancy. (See sections 5(1) and (2), customary right of occupancy (see section 6(1)(a & b). They cannot grant absolute interests or fee simple absolute to any person.

– Obaseki, JSC. Abioye v. Yakubu (1991) – SC.169/1987

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CERTIFICATE OF OCCUPANCY ONLY GIVES RIGHT TO USE & OCCUPY

On the other hand, a certificate of occupancy only gives the right to use and occupy land. It neither confers nor is it necessarily an evidence of title. — Nnaemeka-Agu, JSC. Ogunleye v Oni (1990) – S.C. 193/1987

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CERTIFICATE OF OCCUPANCY IS ONLY EVIDENCE OF TITLE

It is also trite that a Certificate of Occupancy is only prima facie evidence of title or possession, but it is not conclusive proof of title to the land to which it relates. See: Registered Trustees Mission vs Olowoleni (1990) 6 NWLR (Pt. 158) 514: Otukpo Vs John (Supra): Adole Vs Gwar (2008) 11 NWLR (Pt. 1099) 562: (2008) LPELR-189 (SC) @ 17 D-E.

— K.M.O. Kekere-Ekun, JSC. Reg. Trustees Apostolic Church v. Reg. Trustees of Grace Church (2021) – SC.270/2011

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CERTIFICATE OF OCCUPANCY IS A PRESUMPTION OF TITLE – BETTER TITLE REBUTS IT

In other words, a certificate of occupancy properly issued by a competent authority raises the presumption that the holder is the owner in exclusive possession of the land in respect thereof. Such a certificate also raises the presumption that at the time it was issued there was not in existence a customary owner whose title has not been revoked. The presumption is however rebuttable because if it is proved by evidence that another person had better title to the land before the issuance of the certificate of occupancy then the court can revoke it. See Osazuwa v. Oji (1999) 13 NWLR (Pt. 634) 286. See also Atta vs. Ezeanah (2001) FWLR (Pt. 49) 1489, (2000) 11 NWLR (Pt. 678) 363; Shogo vs. Adebayo (2000) 14 NWLR (Pt. 686) 121.

— N. Tobi, JSC. Ezennah v Atta (2004) – SC.226/2000

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AFTER LAND USE ACT, SHALL CONTINUE TO HOLD AS IF HE HAS CUSTOMARY RIGHT OF OCCUPANCY

Where developed land is not in urban area, the law is that the person in whom such land was vested before the Act came into commencement shall continue to have it vested in him as if he was a holder of a customary right of occupancy granted by a local government. It could therefore be seen that the Land use Act is not a magic wand it is being portrayed to be or a destructive monster that at once swallowed all rights on land and that the Governor or local government with mere issuance of a piece of paper, could divest families of their homes and agricultural lands overnight with a rich holder of certificate of occupancy driving them out with bulldozers and cranes. The law as it is that in areas not declared urban by a state government everybody remains where he has always been as if the new Act has vested in him a customary right of occupancy.

— Belgore, JSC. Ogunleye v Oni (1990) – S.C. 193/1987

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PARTY WITH A BETTER TITLE WILL DEFEAT PARTY WHO HAS A CERTIFICATE OF OCCUPANCY

Where a certificate of occupancy has been granted to one of two claimants who has not proved a better title, it must be deemed to be defective and to have been granted or issued erroneously and against the spirit of the Land Use Act and the holder of such a certificate would have no legal basis for a valid claim over the land in issue. So, too, where it is shown by evidence that another person other than the grantee of a certificate of occupancy had a better right to the grant, the court may have no option but to set aside the grant or otherwise discountenance it as invalid, defective and/or spurious as the case may be. See Joshua Ogunleye v. Oni (supra), Dzungwe v. Gbishe and Another (1985) 2 NWLR (Pt.8) 528 at 540. For a certificate of occupancy under the Land Use Act, 1978 to be therefore valid, there must not be in existence at the time the certificate was issued, a statutory or customary owner of the land in issue who was not divested of his legal interest to the land prior to the grant.

— Iguh, JSC. Olohunde v. Adeyoju (2000) – SC.15/1995

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