Lagos Court Dismisses Customer’s N1.12bn Claim Against Property Firm

A Lagos State High Court has dismissed a N1.12 billion counterclaim filed against a real estate developer, Oak Homes Multinational Services Limited, in a long-running dispute over a property transaction, ruling that the matter was a civil contractual disagreement rather than a case of fraud.

The judgment, delivered by Justice A.A. George on June 15, 2026, in Suit No. LD/4471LM/2023, resolved a dispute between the property firm and a customer, Mr. Anthony Ehiedu Ugbebor, over the purchase of two three-bedroom apartments at Oak Residences in Victoria Island, Lagos.

According to a statement issued by Oak Homes, the dispute arose after delays in the project, which the company attributed to force majeure events, including the COVID-19 pandemic. The firm also maintained that the customer completed payment of N152 million out of the N190 million purchase price only in June 2022, contrary to the agreed payment schedule.

Rather than continue negotiations, Ugbebor petitioned the Economic and Financial Crimes Commission (EFCC) in October 2022, alleging fraud, obtaining by false pretence and criminal breach of trust against the company and its management.

After reviewing documentary evidence and witness testimonies, Justice George held that the conduct of both parties had substantially altered the original agreement, amounting to a legal novation of the contract.

The court consequently dismissed the customer’s counterclaims, including requests for specific performance, N20 million in special damages, N10 million in general damages, N5 million as legal fees, and an alternative claim of N1.12 billion, representing the alleged market value of comparable apartments, alongside 20 per cent annual interest from 2017.

The court declared that the original contract had been terminated under the doctrine of novation and ordered the EFCC to return to Ugbebor all funds paid to it by Oak Homes through manager’s cheques. It also directed Oak Homes to remit the balance of payments previously made by the claimant, while making no order as to costs.

The judgment further observed that the EFCC should not be used as a debt recovery agency in resolving civil contractual disputes, a position Oak Homes described as having wider implications for commercial transactions in Nigeria.

Reacting to the ruling, the company said the judgment vindicated its long-held position that it had not defrauded any customer.

“For years, Oak Homes and its Chief Executive, Mr. Olukayode Olusanya, have been the target of a deliberate and sustained campaign of reputational attacks, sponsored and amplified across internet platforms and social media,” the company said.

“Our company made a conscious and principled decision not to respond in kind. We chose to trust the justice system to speak. It has now spoken clearly and unambiguously.”

The firm reiterated its commitment to integrity, transparency and quality real estate development, assuring investors, homebuyers and business partners of its continued dedication to delivering premium residential projects across Nigeria.