The Enugu State House of Assembly has introduced a bill aimed at addressing alleged excesses in agency and legal fees for tenancy agreements
According to the House, the bill was prompted by increasing complaints from residents about exploitation by landlords, particularly concerning high charges imposed on tenants and prospective tenants.
Titled The Bill for a Law to Amend the Landlord and Tenant Law, CAP. 101, Laws of Enugu State, 2024, the proposed legislation is sponsored by Hon. Okey Mbah, who represents Nkanu East State Constituency. It underwent its first reading on Tuesday.
The bill seeks to regulate agency and legal fees by capping them at a maximum of 10 percent of the rent. It also aims to abolish caution fees—charges imposed on tenants that are rarely refunded at the end of a tenancy.
Section 3(3) of the bill states: “With effect from the commencement of this law and notwithstanding any provisions in other enactments, agent fees chargeable for procuring any accommodation in the state shall not exceed 10 per cent of the rent payable by the prospective tenant.”
Similarly, Section 3(4) provides: “No tenant shall be required to pay any further premium in acquiring accommodation except for a legal fee payable to a qualified legal practitioner for the preparation of the landlord and tenant agreement, which shall not exceed 10 per cent of the rent.”
Violations of the law, once enacted, will attract a fine of N500,000, a six-month prison term, or both.
The bill also seeks to protect tenants from forced, irregular, and fraudulent evictions by establishing legally defined eviction timelines and notice periods.
Additionally, it proposes mandatory certification for individuals wishing to operate as land agents or property managers. It also empowers a designated government ministry or agency to issue further regulations on housing and tenancy matters in Enugu State.
Speaking after the bill’s first reading, Mbah described the initiative as aligning with “the earnest desires of the people and residents of Enugu State.” He expressed confidence that the bill would receive overwhelming support from House members, as it seeks to address widespread concerns affecting their constituents.
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