The License to Occupy is a crucial document in Nigerian property law practice, designed for situations requiring flexible, temporary occupation arrangements without creating a lease or tenancy. It's commonly used for pop-up retail spaces, temporary offices, short-term storage, or other situations where a full lease would be inappropriate or overly burdensome. The document must comply with Nigerian law, particularly the Land Use Act 1978 and relevant property regulations. It typically includes detailed provisions on the permitted use, duration, fees, maintenance responsibilities, and termination rights, while carefully preserving the licensor's control and access rights to maintain the license character of the arrangement. This type of agreement is particularly valuable in commercial contexts where businesses need rapid access to space without long-term commitments or where property owners wish to maintain maximum flexibility in their property management.
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1. Parties: Identification of the Licensor and Licensee with full legal names and addresses
2. Background: Context of the agreement and confirmation that this is a license to occupy, not a lease
3. Definitions: Key terms used throughout the agreement including Property, License Period, License Fee, Permitted Use
4. Grant of License: Express grant of the license and its temporary, non-exclusive nature
5. License Period: Duration of the license, including start and end dates, and any renewal provisions
6. License Fee: Amount payable, payment terms, and review mechanisms
7. Licensee Obligations: Key responsibilities including maintenance, compliance with laws, and conduct requirements
8. Licensor Obligations: Responsibilities of the property owner, including services provided and maintenance obligations
9. Insurance: Insurance requirements for both parties
10. Termination: Circumstances allowing early termination and the process
11. Notices: How formal communications between parties should be made
12. Governing Law: Confirmation of Nigerian law as governing law and jurisdiction
1. Fit-out Works: Required when the licensee needs to make alterations or installations
2. Shared Facilities: Needed when the property includes common areas or shared services
3. Security Deposit: Include when a deposit is required from the licensee
4. Utilities: Required when addressing separate utility charges and responsibilities
5. Assignment and Sublicensing: Include when specific restrictions on transfer need to be addressed
6. Environmental Matters: Required for properties where environmental compliance is critical
7. Force Majeure: Include when specific provision for unforeseen events is needed
1. Property Description: Detailed description of the licensed area, including plans and measurements
2. Permitted Use: Detailed description of allowed activities and any restrictions
3. License Fee Details: Breakdown of fees, payment dates, and calculation methods
4. House Rules: Building regulations and conduct requirements
5. Condition Report: Documentation of property condition at commencement
6. Services: List of services provided by the licensor, if any
7. Required Insurances: Detailed insurance requirements and minimum coverage levels
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Relevant Teams
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Relevant Roles
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