Diya Fatimilehin Dragged To Court Over Breach Of Contract

Two allottees of land at Federal Housing Authority(FHA) Diamond Estate, Isheri Olofin, Lagos State, southwest Nigeria, Mrs. Felicia Olatubokun Ogunsulire and Mr. Olufolayimi David Ayinde have slammed N80 million suit on Estate management firm, Diya Fatimilehin, over an alleged breach of contract.

Joined as co-defendants in the suit are the Federal Housing Authority and a private limited liability company, Locke International Consultancy Limited.

In a statement of claim filed before a federal high court in Lagos by the law firm of Ubong Abasi Inyang, the plaintiffs alleged that they are the allottees of the plots of land identified as Block 3, Plot 7 and 8 located at Federal Housing Authority Diamond Estate, Isheri, Olofin, LASU Road, Lagos, Lagos State.

On the 7 March, 1994 the Federal Housing Authority advertised and solicited the general public to buy low/medium income housing units constructed under the Federal Ministry of Works and Housing, National Housing Programme. Consequently, Dr. (Mrs.) Felicia Olatubokun Ogunsulire acting on behalf of the other applicant, paid for the application form, submitted income tax certificate and completed the personal data forms.

On 20 March, 1997 the plaintiffs were required to pay 20 per cent of the disposal price for each unit in the sum of N162,000. Thereafter, in  the year 2006, the plaintiffs were directed to contact Diya Fatimilehin and Company as the agent entrusted with the development, management and  disposal of the estates owned by the Federal Housing Authority across the country.

The plaintiff contacted the company as advised and after payment of the initial deposit, Locke International Company duly issued provisional letter of allocation for six units. The plaintiffs then made initial payment of N1,250,000 for each of the six units, and thereafter approached Ecobank Plc for mortgage facility to finance the purchase. The plaintiffs then took possession of their respective blocks and commenced construction of the boys quarters, water storage tanks, iron perimeter fence, iron gates and other internal works.

The plaintiffs have spent a total of about N10 million on the two units allocated to them and  while Ecobank was processing the payment schedule, the defendants by their letter dated 5 August, 2008 purported unilaterally merged all payments made by the respective plaintiffs and reduce the entire allocation from six to two units. The defendants on the 10 March, 2009 purportedly issued another letter of allocation in favour of four other persons, leaving out the plaintiffs.

The plaintiffs contended that it will be most unfair, unequitable, and will amount to contractual breach for the defendants to unilaterally purport to merge various payments made by the plaintiffs and reduce the allocation to four units after the plaintiffs have paid a total sum of N17,500,000 for six units and spent about N27 million on improvement.

The plaintiff while claiming the sum of N80 million as the cost of improvement on the respective plots and general damages, urged the court to compel the defendants to desist from re-allocating the plots already allotted to them to another person.