Section 46 Property and Conveyancing Law of the Western Region of Nigeria 1959

Section 46 of the Property and Conveyancing Law of the Western Region of Nigeria 1959 is about Power to grant options. It provides as follows:

(1) The trustees for sale may at any time, either with or without consideration,
grant by writing an option to purchase or take a lease of the trust land, or any part
thereof, or any easement, right, or privilege over or in relation to the same at a price
or rent fixed at the time of the granting of the option.

(2) Every such option shall be made exercisable within an agreed number of years
not exceeding ten.

(3) The price or rent shall be the best which, having regard to all the circumstances,
can reasonably be obtained and either
(a) may be a specified sum of money or rent, or at a specified rate according to the
superficial area of the land with respect to which the option is exercised, or the
frontage thereof or otherwise; or

(b) in the case of an option to purchase contained in a lease or agreement for a lease, may be a stated number of years’ purchase of the highest rent reserved by the lease or agreement; or

(c) if the option is exercisable as regards part of the land comprised in the lease or
agreement, may be a proportionate part of such highest rent;
and any aggregate price or rent may be made to be apportionable in any manner, or according to any system, or by reference to arbitration.

(4) The consideration for the grant of the option shall be applicable in the same manner as if it represented proceeds of sale arising under the trust for sale.