DIKIO V. N.S.I.T.F. MGT. BOARD (2025) 14 NWLR (PT. 2004) 129
ON WHAT IS RIGHT OF FIRST REFUSAL
A right of first refusal is a contractual or statutory provision that gives a specific party the priority to purchase a property or investment before it is offered to anyone else. Essentially, if the owner of the property decides to sell, he must first offer it to the party holding the right of first refusal on the same terms such as price, etc.
It is a mechanism in a contract or statute that affords the holder of such right the preference to buy a particular property, should the owner ever choose to sell it. If the holder of the right declines, the owner can then offer it to other potential buyers. The right of first refusal is typically a clause within a contract, often between a landlord and tenant. It may also be a provision in a statute, in respect of tenancies governed by statute or a part of government policy in respect of properties owned by government.
In the instant case, there was no contractual clause granting any of the appellants the alleged right of first refusal alluded to by their counsel. The appellants’ counsel did not also point or refer to any statutory provision or government circular that invested the appellants with the alleged right of first refusal.
[Haruna v. K.S.H.A. (2010) 7 NWLR (Pt. 1194) 604; Adama v. K.S.H.A. (2019) 16 NWLR (Pt. 1699) 501 referred to.] (P. 161, paras. A-D; F-G)
DIKIO V. N.S.I.T.F. MGT. BOARD (2025) 14 NWLR (PT. 2004) 129
ON WHEN RIGHT OF FIRST REFUSAL LAPSES
A right of first refusal in respect of a property does not vest any right or interest in the property, and the right evaporates, lapses, and ceases to exist once the property is sold.
It does not and cannot affect the validity of the sale.
[Ewurum v. Minister, F.C.T. (2019) LPELR 48365 referred to.] (P. 162, paras. A-B)