Spera In Deo Limited V. Peccuno Mineral Industry Nigeria Limited & Anor (2016)

LawGlobal-Hub Lead Judgment Report – COURT OF APPEAL

TOM SHAIBU YAKUBU, J.C.A. (Delivering the Leading Judgment)

The subject matter in dispute herein is a contiguous pieces of land at Nkpor in Anambra State previously owned by the 1st respondent. The said 1st respondent being in dire and urgent need of funds to liquidate its indebtedness to the bank ? Union Bank of Nigeria Abakaliki branch which held the papers to the said parcels of land in respect of Mortgage transaction with the 1st defendant and threatening to sell off the land if the debt was not amortized immediately, approached the appellant to buy the property in question.

The appellant agreed to buy only 8 plots out of the entire 16 plots belonging to the 1st respondent. It is the contention of the 1st respondent that the agreed price for the said 8 plots with the appellant was N175,000.00 and to be paid in bulk to stave off the imminent clamp-down and foreclosure by the bank ? its creditors. The appellant on the other hand contended that what she agreed with the 1st respondent as purchase price was N125,000.00 and to be paid instalmentally. The appellant not forthcoming with the money with the urgency required, 1st respondent met the 2nd

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defendant who agreed to buy off the entire 16 plots at N400,000.00 and to pay same in bulk immediately. The deal was struck and the property including the earlier 8 plots the appellant had indicated interest in were purchased by the 2nd respondent and the papers with the bank were released to the 2nd respondent.

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The 2nd respondent, on her application for joinder to the action, was so joined as a party on 27th July, 1990. The appellant, in her amended statement of claim had sought the following reliefs, to wit:

(i) A declaration that having made a binding agreement with the plaintiff to sell the property to the plaintiff, the 1st defendant is not entitled to sell the said property situate at Nkpor-Obosi Road, Nkpor, shown numbered plots 9 ? 16 on survey plan No. GAV/As57/89 to the 2nd defendant.

(ii) A declaration that the 1st defendant is not entitled to assign, sell or transfer property comprised in and assured under the Certificate of Occupancy registered as No. 43 at page 43 in volume 1011 without the consent of the Military Governor of Anambra State under S. 22 of the Land Use Act 1978 having been first sought and obtained and as no

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such consent had been sought and obtained.

(iii) A declaration that the purported assignment and transfer of the said property by the 1st defendant to the 2nd defendant is ineffective, null and void as no consent for such assignment and transfer had been sought from the Military Governor of Anambra State under S. 22 of the Land Use Act 1978 and none had been obtained.

(iv) A declaration that the Deed of Assignment dated the 1st day of September 1989 made between the 1st defendant and the 2nd defendant made without the consent of the Military Governor of Anambra State first had and obtained as required by S. 22 of the Land Use Act 1978 is ineffective, null and void.

?AGAINST THE 1ST DEFENDANT AS FOLLOWS: