The impact of new lagos tenancy law on landlords & tenants
On August 20th, 2021, the Lagos State House of Assembly passed a new tenancy law aimed at regulating the relationship between landlords and tenants in the state. The law, known as the Lagos State Tenancy Bill, has significant implications for both landlords and tenants. In this article, we will explore the impact of the new Lagos tenancy law on landlords and tenants. Now lets talk about the impact on landlords
Impact on Landlords:
1. Shorter Notice to Quit: Under the new law, a landlord can now give a tenant a shorter notice to quit. For instance, a monthly tenant now requires seven days’ notice, while a yearly tenant requires three months’ notice.
2. Increased Penalties: The new law has increased the penalties for defaulting landlords. For instance, a landlord who fails to refund a tenant’s security deposit within seven days of the expiration of the tenancy will now pay a penalty of 10% of the deposit sum for each month of default.
3. Increased Requirement for Tenancy Agreement: Landlords are now required to prepare a tenancy agreement and provide it to the tenant within 30 days of the execution of the agreement.
4. Increased Responsibility for Repairs: The new law places more responsibility on landlords for repairs and maintenance of the property, which was previously the responsibility of the tenant.
Now what are the Impacts on Tenants:
1. Limited Rent Increase: The new law prohibits landlords from increasing rent more than once in any twelve-month period.
2. Security Deposit Refunds: The law mandates that landlords refund a tenant’s security deposit within seven days of the expiration of the tenancy, provided there are no deductions for damage or unpaid rent.
3. Mandatory Eviction Notice: Landlords are now required to give tenants a written notice of eviction before commencing legal proceedings.
4. Alternative Dispute Resolution: The new law mandates that landlords and tenants must attempt to resolve any dispute amicably through alternative dispute resolution mechanisms before commencing legal proceedings.
The new Lagos tenancy law has significant implications for both landlords and tenants. It aims to promote fairness and protect the rights of both parties in the landlord-tenant relationship. However, the law will require both parties to understand their rights and responsibilities better. Landlords must comply with the new law’s requirements, while tenants must know their rights and obligations under the law. Ultimately, the new law has the potential to promote a more transparent and fair landlord-tenant relationship in Lagos state.
What do you feel about this law, is it trully promoting transparency or been one sided. Comment your View.