It is always a point of dispute between landlord and tenant in Nigeria whenever increment in rent arises. While the landlord may seem justified to increase rent, perhaps by increased cost or other factors, the tenants usually are oblivious of their rights whenever such changes present themselves. This article discusses, among other things, how a landlord can, by law, increase rent, the limitation that faces arbitrary rent increase, the obligations a tenant owes for the payment of rent, and whether a tenant can agree to a rent increment.
Landlords shall not increase the rent at will without consulting the tenants.
The point is that house rent can only be increased while the tenant is in occupation by agreement with the landlord and the tenant upon consultation. Some tenants are still in disbelief when this is been said; it sounds like “a story for the Gods”. But that is the correct position in reality. A landlord cannot increase house rent while the tenant is in occupation of the property without first consulting with the tenant and an agreement being reached. Yes, you read that right.
Understanding Tenants’ Rights in Rent Increments
This is usually minimal in Nigeria or any other country for that matter, especially among the unlettered or semi-lettered tenants: the knowledge of “tenant rights.” These are rights aimed at securing the tenant from the oppressive behavior of the landlord. Some of the key tenant rights include:
– Peaceful possession of the rented property
– Protection against ‘trespassing’ by the landlord or other parties
– Protection from ‘excessive and arbitrary rent increments’ by the landlord
Legal Remedies Available to Tenants Against Arbitrary Rent Increase
Where there has been an arbitrary increase in the payment of rent by a landlord without prior consultation with the tenant, such a tenant is allowed by law to approach the courts for redress. By the express provisions of Section 37(1) of the Lagos State Tenancy Law of 2011, every tenant is entitled to apply to the court for a declaration that the rent so increased is unreasonable. What this means is that this law created an obligation on a landlord to serve a notice on the tenant, propose an increase of rent to him, and reach an agreement. If the tenant thinks that this increase is not in order, refuge may be sought from the court by declaration against the invalidity of the increase.
Rent Negotiation Process
The landlord cannot arbitrarily increase rent based on his whim or circumstance without going through the due process of law. This involves serving a notice on the tenant, discussing and determining the terms of increase with him/her. There must be express approval on the part of the tenant of the new rent. A unilateral act of rent increase by a landlord is immediately contestable by the tenant.
The Legality of Rent Increments
In ‘Udih vs. Izedonmwen (1990) 2 NWLR (Pt. 132) 357’, the court was faced with a situation where the landlord increased rent from ₦50 to ₦500 without the tenant agreeing. The court held that whatever unilateral increase of this type can only amount to an offer, which the tenant is free to accept or reject, and that upon rejection by him, the landlord must either go back to the original terms or determine the tenancy in accordance with the law.
This was further reinforced in Jovinco Nigeria Ltd & Anor v Ibeozimako (2014) LPELR-23599(CA), wherein it was again said that increase of rent is an offer which the tenant is at liberty to accept or reject.
The Imperative of Timely Payment of Rent by Tenants
Though unfair increase in rent can be challenged by tenants, in return, it is also upon the tenant that they should pay rent regularly. Paying rent regularly is required as per the legal necessities or context. If a tenant is not up-to-date on the payment of rent, it means that one may not have good standing in case of disputes about the increase in rents.
- Consult a Lawyer: If the tenant thinks the increase in his rent is unfair, he should consult a lawyer who will write to the landlord explaining why the increase is not reasonable.
- Challenge in Court: If the landlord refuses to revert the rent increase, the tenant may approach the court to challenge the increase.
When Can a Tenant Agree to a Rent Increase?
There are circumstances that a tenant may accept an increase in rent. In those cases where a tenancy agreement states that rent can be increased during the tenancy, then a tenant has accepted that an increment can occur. However, these terms need to be stated within the contract. It is advisable that tenants go back to their tenancy agreements to see the terms involving the issue of increase in rent.
Final Thoughts:
The legal structure as regards increase in rent will definitely vary from one state to the other. For instance, while the Lagos State Tenancy Law of 2011 and Enugu State Landlord and Tenant Law of 2008 are quite protective of tenants with respect to increases in rent, each tenancy law has its specific differences in the process for increasing rent and other tenants’ rights.
While it is within the right of landlords to make suggestions concerning increases in rent, they cannot impose this without following the due process of law and upon approval by the tenants. It is also hoped that tenants will not only know their rights but also exercise due responsibility by paying rent on time and opposing practices against them when called for.