DOCTRINE OF ESTOPPEL IN NIGERIA: IMPORTANT THINGS YOU NEED TO KNOW

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doctrine of estoppel

Introduction to the Doctrine of Estoppel in Nigeria

Imagine a landlord assures a tenant that rent will not be increased for two years. Relying on that promise, the tenant spends significant money renovating the apartment. A few months later, the landlord suddenly demands a rent increase or asks the tenant to vacate. The tenant is shocked. Can the landlord go back on his word? This is where the law steps in through a powerful equitable principle known as the doctrine of estoppel in Nigeria. It prevents a person from saying one thing at one time and later turning around to say the opposite when another person has relied on the earlier representation.

Understanding the doctrine of estoppel in Nigeria is essential because it serves as a shield against injustice, ensuring fairness and consistency in legal and commercial dealings.

WHAT IS THE DOCTRINE OF ESTOPPEL IN NIGERIA?

The doctrine of estoppel in Nigeria is a legal principle that prevents a party from denying or contradicting a fact, representation, or position that they have previously made, especially where another party has relied on it. The doctrine is codified under the Evidence Act 2011, particularly:

  • Section 169 – Estoppel by conduct
  • S 170 – Estoppel of tenant and licensee
  • Section 173 – Estoppel of acceptor of bill of exchange

Under Section 169 of the Evidence Act, when a person, by their conduct or declaration, causes another to believe a fact and act upon it, they cannot later deny that fact. Thus, the doctrine of estoppel in Nigeria ensures that the law protects reliance and prevents unfair reversals.

PURPOSE OF THE DOCTRINE ESTOPPEL IN NIGERIA

The central purpose of the doctrine of estoppel in Nigeria is to prevent injustice. Courts apply estoppel to:

  • Protect parties who rely on representations
  • Prevent fraud or bad faith
  • Promote fairness and consistency

The Supreme Court in Ajide v. Kelani (1985) 3 NWLR (Pt. 12) 248 emphasised that estoppel is rooted in equity and is designed to prevent injustice arising from inconsistency in conduct. This authority underscores the idea that the doctrine of estoppel in Nigeria is not merely technical, it is a tool of justice.

TYPES OF ESTOPPEL IN NIGERIA

The doctrine of estoppel in Nigeria operates in different forms, each serving a distinct purpose.

1. Estoppel by Conduct (Equitable Estoppel)

This is the most common form of estoppel. It arises where:

  • A person makes a representation (by words or conduct)
  • Another person relies on it
  • It would be unfair to allow the maker to deny it

In Joe Iga & Ors v. Ezekiel Amakiri & Ors (1976) 11 SC 1, the Supreme Court held that where one party allows another to act to their detriment based on a representation, the maker of that representation is estopped from denying it. Recently, the Court of Appeal in First Bank of Nigeria Plc v. Tsokwa (2022) LPELR-58302 (CA) reaffirmed that estoppel by conduct arises where a party’s actions induce another to act, and it would be unjust to allow a reversal. See also Adone v. Ikebudu (2001) 14 NWLR (Pt. 733) 385 (CA) Ajiboye v. Ishola (2006) 13 NWLR (Pt. 998) 628 (SC),

2. Estoppel by Record (Res Judicata)

This form of estoppel prevents parties from re-litigating issues that have already been decided by a competent court. The Supreme Court in Yoye v. Olubode (1974) 10 SC 209 held that once a matter has been finally decided, the parties are bound and cannot reopen it.

3. Doctrine of Estoppel by Deed

This arises where parties have entered into a formal agreement or deed and are bound by its terms. They cannot later deny what has been agreed in the document.

4. Promissory Estoppel

Promissory estoppel arises where a promise is made, even without a formal contract, and one party relies on it. Although rooted in English law, Nigerian courts have applied this principle in appropriate cases to prevent injustice.

5. Estoppel of Tenant

Under Section 170 of the Evidence Act, a tenant is estopped from denying the title of their landlord during the subsistence of the tenancy. In Osho v. Foreign Finance Corporation (1991) 4 NWLR (Pt. 184) 157, the Supreme Court affirmed that a tenant cannot challenge the landlord’s title while still in possession.

ESSENTIAL ELEMENTS OF THE DOCTRINE OF ESTOPPEL IN NIGERIA

For the doctrine of estoppel in Nigeria to apply, certain elements must be established:

  1. A clear representation of fact
  2. Reliance on that representation
  3. Change of position by the relying party
  4. Inequity if the representation is withdrawn

LIMITATIONS OF THE DOCTRINE OF ESTOPPEL

The Supreme Court has consistently held that estoppel is a shield, not a sword. It is used as a defence rather than a basis for initiating a claim. Hence, despite its importance, the doctrine of estoppel in Nigeria has limitations. The doctrine of estoppel in Nigeria cannot be used to:

  • legalise an illegal act
  • Cannot override statutory provisions.
  • Cannot create a cause of action where none exists
  • Must be specifically pleaded

CONCLUSION

The doctrine of estoppel in Nigeria is a powerful legal principle designed to promote fairness, consistency, and justice. By preventing parties from going back on their words or conduct, the doctrine ensures that individuals and businesses can rely on representations without fear of sudden reversal.

Contributors

Ojienoh Segun Justice Esq., Doctrine of Estoppel

OJIENOH SEGUN JUSTICE, ESQ

Lead Partner, EKO SOLICITORS & ADVOCATES

RINDAP NANJUL DANJUMA tasers, and pepper sprays
Rindap Nanjul Danjuma Esq.,
Counsel, EKO SOLICITORS AND ADVOCATES

Salawa Abike Sule-Azeez

Salawa Abike Sule-Azeez

Associate, EKO SOLICITORS & ADVOCATES

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