Property Lawyers in Uyo or anywhere in Nigeria are bound by the provisions of the Legal Practitoners (renemeration for Business, Legal Services & Representation) Order 2023. The promulgation specifies in details how much legal practitioners who enagage in property transactions should charge. It therefore follows that property Lawyers are bound to charge fees in accordance with the provisions of the Legal Practitoners (renemeration for Business, Legal Services & Representation) Order 2023. Scale 4 of the Order covers scale of charges on property transactions including mortgages and is represented below;
| A | The Assignee’s or Mortgagee’s legal practitioner | Property value or mortgage value in the case of a mortgage: < N50,000,000 | Property value or mortgage value in the case of a mortgage: N50,000,000 – N100,000,000.00 | Property value or mortgage value in the case of a mortgage: > N100,000,000 |
| Min Max | Min Max | |||
| Conveyancing and Assignments (public or private auctions) | N5m for the first N50m and 5% of every subsequent amount up to N100m | |||
| Mortgages | 4% | N2m for the first N50m and 3% of every subsequent amount up to N100m | N4.5m for the first N100m and 2% of every subsequent |
B The Assignor’s or Scale of charges for reviewing the draft agreement shall be one half of the amonunt Mortgagor’s Legal payable to the Assignee’s or Mortgagee’s Legal Practitioner Practitioner
From the table reproduced from the Renumeration Order, 2023, the following can be deduced;
- For conveyancing transactions, your Property Attorney is entitled to a minimum fee of 10% for transactions less than N50,000,000.00 (Fifty Million Naira).
- For coveyancing transactions, where the property value is between N50,000,000.00 (Fifty Million Naira) – N100,000,000.00 (One Hundred Million Naira), your Property Attorney is entitled to 5% for the first N50m and then 5% of every subsequent amount up to N100m.
- For conveyancing transactions, where the property value is more than N100,000,000,00 (One Hundred Million Naira), your property Attorney is entitled to 7.5% for the first N100m and 3% of every subsequent amount.
- For mortgage transactions, your property Attorney is entitled to a minimum fee of 4% where the property value is less than 50,000,000.00 (Fifty Million Naira)
- For Mortgage transactions, where the property value is between N50m – 100m, your property Attorney is entitled to N2m for the first N50m and 3% of every subsequent amount up to N100m
- For mortgage transactions, where the property value is more than N100m, your Property Attorney is entitled to N4.5m for the first N100m and 2% of every subsequent amount.
- Also, where the seller is represented by a property lawyer who reviews and vets the draft agreement as prepared the purchaser’s lawyer, the seller’s lawyer is entitled to charge half of the amount charged by the purchaser’s lawy
Why you should pay your lawyer in accordance with the provision of the law
- Legal and Ethical Obligation: A property lawyer in Uyo or anywhere in Nigeria is bound by ethical rules and professional standards, which often require him to charge reasonable fees for their services. Paying according to the prescribed fee ensures you’re respecting this professional framework.
- Quality of Service: Lawyers invest significant time, expertise, and resources into handling cases. The prescribed fee usually reflects the level of service you are receiving, including their experience, knowledge, and the complexity of your case.
- Maintaining a Professional Relationship: Paying your lawyer the agreed-upon fee helps maintain a professional and respectful relationship. Lawyers often have a heavy workload and rely on their fees to support their practice, so paying on time is essential to ensure your legal matters are prioritized.
- Preventing Unnecessary Delays: Lawyers need to be compensated to dedicate the necessary time and resources to your case. If you’re not paying them according to the agreed fee, it may cause delays in your case, as the lawyer might not prioritize or invest the needed time to prepare your case effectively.
- Support for Access to Justice: When lawyers are compensated properly, it allows them to continue offering legal services, which supports access to justice for everyone. Lawyers often provide a range of services, including pro bono work, but paying the prescribed fee ensures they can continue offering both paying and pro bono services in a sustainable way.
Consequences for not paying the prescribed fees
- Ethical Breach: Lawyers are governed by ethical codes and professional conduct rules, which often require them to charge reasonable fees for their services. Failure to pay the prescribed or reasonable fees could be seen as unethical and violate these standards.
- Disciplinary Action: If property lawyers in Uyo or anywhere in Nigeria is found to be not charging properly, they could face disciplinary action. This can include reprimands, suspension, or even disbarment in extreme cases.
- Undervaluation of Legal Services: Underpaying can inadvertently lead to the undervaluation of legal expertise and the services lawyers provide. It may create unrealistic expectations among clients about the cost of legal services in general.
- Loss of Credibility: A lawyer is consistently underpaid may lose their professional credibility. Clients might view the lawyer as unprofessional or unreliable, leading to a damaged reputation that could affect future business.
In summary, property lawyers in Uyo or anywhere in Nigeria is by law expected to charge fees in accordance with the provisions of Scale 4 of the Legal Practitioners (Remuneration for Business, Legal Services & Representation) Order 2023. This fee is for documentation of property transactions. Failure to pay the prescribed fees can result in a range of professional, financial, and legal issues for the property lawyer. It can damage their practice, harm their relationship with clients, and even result in disciplinary action or reputational harm.
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