In Nigeria, any lease agreement that lasts more than three years must be registered with the State Government where the property is located, and the Governor’s consent is required. The procedure for registering a lease agreement can vary slightly between states due to different administrative structures.
In this article, we will provide a step-by-step guide on how to register a lease agreement in Cross River State.
WHAT IS LEASE AGREEMENT?
Also referred to as a deed of lease, this legal document formalizes the agreement between a lessor (property owner) and a lessee (tenant) for the rental or lease of a property for a term exceeding three years. It clearly outlines the rights and obligations of both parties, ensuring mutual understanding and protecting their interests. The deed typically includes details such as the property being leased, the duration of the lease, the rental amount, payment terms, the responsibilities of each party, and the conditions for renewal or termination of the lease.
In Cross River State, it is important to register lease agreements that exceed three years. This registration provides legal recognition and enforceability to the agreement under the law. In other words, leases with a duration of less than three years do not require registration, but those lasting three years or longer must be registered in Cross River State.
WHY IS IT IMPORTANT TO HAVE A LEASE AGREEMENT REGISTERED?
Registering a deed of lease offers numerous benefits to both the lessor and the lessee, and they are as follows:
1. Registration guarantees legal validity to the agreement: An unregistered deed may be deemed inadmissible in court, weakening your legal standing in the event of a dispute(s) over the leased property.
2. It protects parties to the lease transaction: Registration verifies the ownership of the property and protects both parties from fraudulent claims that may occur over the property.
3. Reduces conflicts and misunderstandings: A registered lease ensures that all terms are clearly documented, reducing misunderstandings and facilitating smoother resolutions. The parties will understand the rules and restrictions of the leased property.
4. Statutory Compliance: Nigerian laws, particularly the Land Use Act, mandate the registration of certain lease agreements. For instance, any lease in Nigeria (including Cross River State, Cross River State) that is above three years is by law mandated to be registered.
Failing to register the deed can expose both the lessor and lessee to legal and financial risks, especially in areas like Cross River State with established land administration systems.
6. A registered lease agreement can be maximized to obtain tax reliefs and benefits if properly managed.
REQUIREMENTS FOR REGISTRATION OF LEASE AGREEMENT IN CROSS RIVER STATE?
To successfully register a lease agreement in Cross River State, you need the following documents:
a. Original copy of the Lease Agreement/ Title document
b. Original copy of the survey plan
c. Certificate of lodgment of Survey plan
d. Company’s Tax Identification Number from the State Internal Revenue Service
e. Valuation Certificate
HOW TO REGISTER A LEASE AGREEMENT IN CROSS RIVER STATE, CROSS RIVER STATE.
The steps to register a lease agreement in Cross River State, Cross River State are as follows;
1. Submit a formal application to the Director of Lands for consent to register the lease agreement. The application and registration process is best handled by retaining the services of a licensed lawyer or law firm.
2. The application is forwarded for submission of the charting report and lodgment certificate. Obtaining a charting report entails a physical inspection of the property to determine the boundaries, dimensions, and physical features of the land and ascertain whether or not the property is suitable for the purpose stated in the lease agreement.
3. Pay relevant application, processing fee, and stamp duties to a designated Government account.
4. Verify payments and process receipts where necessary
5. After all relevant payments are made, a physical inspection is carried out, and all other document requirements for the process are considered as satisfied by the authorities, a certified copy of the registered lease agreement is issued by the land registry as a grant of consent and proof of legal recognition of the lease.
6. After the grant of consent, the document is forwarded for stamping and registration and thereafter ready for collection.
CONCLUSION
Registering a lease agreement in Cross River State is a vital step in securing your property transaction and protecting your property interests as an individual or corporate organization. If you need professional assistance with having your lease agreement registered in Calabar, Cross River State, feel free to reach out to us through the Whatsapp icon on this page or HERE, and we will respond to you.
Latest posts by Cynthia Tishion (see all)
- WHY YOU NEED A LAWYER FOR PROPERTY TRANSACTIONS IN NIGERIA - January 9, 2025
- BENEFICIAL OWNERSHIP INFORMATION (BOI) REPORTING REQUIREMENT – SUSPENDED - December 19, 2024
- NIGERIA’S TAX REFORM BILLS 2024 - December 12, 2024
Leave a Reply