Property Developer Slammed with N100m Suit for Harassment, Arbitrary Charges

Homeowners within the Pearl Garden Estate situated at Sangotedo Village in Eti-Osa Local Government Area of Lagos State have dragged a property developer, Oyetubo Jokotade Estate Resource Limited, to court over alleged incessant harassment and imposition of arbitrary charges.

The claimants filed the class action before Justice Abisoye Bashua of the Lagos State High Court sitting in Epe.

The N100 million suit was instituted by Messrs Francis Adesuyi, Felix Obiakor, Martin Ajayi-Obe and Peter Afenotan on behalf of themselves and all interested homeowners within the Pearl Garden Estate.

Joined in the suit as second defendant is CMB Building Maintenance and Investment Company Limited, which is in charge of providing estate management services to the claimants.

At the hearing of the suit last Thursday, the counsel to the defendants, Mr. R.A. Aladesanmi, said they had filed an application asking the court to stay proceedings of the suit, pending the referral of the arbitration proceedings.

Aladesanmi argued that all purchases of the land entered into an arbitration agreement contained in their individual Sale and Management Agreement, adding that the appropriate place to resolve the dispute was through arbitration.

The claimants' counsel, Mr Adeyinka Adeyemi, however objected to the application, arguing that some of the parties in the suit did not sign the arbitration clause.

Adeyemi further contented that the said agreement was entered between some of the claimants and the first respondent, adding that the second defendant (BCM) was not a party to the agreement.

He said it was ironic that the same defendants asking for arbitration had filed notices of appeal at the Court of Appeal against a previous order of the court which restrained them from restricting the claimants from the estate.

"As at now, there is no