Mbah Vows to Sign Bill Curbing Excessive Agency, Lawyers’ Fees in Enugu

By Tony Edike

Enugu State Governor, Dr Peter Ndubuisi Mbah, has pledged to sign into law a proposed amendment to the state’s Landlord and Tenant Law aimed at curbing excessive agency and legal fees imposed on prospective tenants.

Mbah gave the assurance while speaking at a recent town hall meeting, where he outlined his administration’s plans to address housing challenges in the state through legislative reforms and increased housing supply.

The governor said his administration was working with the Enugu State House of Assembly to ensure the proposed legislation was passed within four weeks, promising to sign it as soon as it was transmitted to him.

He said the government could effectively regulate charges imposed by property agents and lawyers but warned against imposing rent controls that could discourage investment in the housing sector and worsen accommodation shortages.

“One thing that government can regulate effectively is controlling the cost an agent charges as commission, controlling the legal fees. You can clearly make laws to guide that,” Mbah said.

He explained that fixing a ceiling on the rent landlords could charge might discourage people from investing in residential property, potentially reducing housing supply and pushing rental prices even higher.

“It is extremely difficult to make laws to cap the fee the rent a landlord charges because once you do that, what you’re going to see is scarcity,” he said.

The governor added that his administration was adopting a supply-driven approach to addressing the housing crisis by expanding the city, developing new residential areas and increasing the availability of housing units.

“So what we do as government is to try and push supplies in the market to see that we build new houses to ensure that there are enough homes so that that supply would drive down the rent,” he stated.

Mbah said his administration was working with the legislature to regulate tenancy-related fees while protecting residents from excessive charges.

“I’m committing to you that we’re going to work with the House of Assembly to ensure that within the next four weeks we’ll ensure that bill is passed into law, and I’ll be in a hurry to sign it so that we can protect Ndi Enugu,” the governor added.

The proposed amendment to the Landlord and Tenant Law, Cap. 101, Revised Laws of Enugu State, 2004, was disclosed by the Speaker of the House of Assembly, Rt. Hon. Uche Ugwu, in a Facebook post on Monday, October 26, 2026.

According to Ugwu, the executive bill seeks to establish clearer rules for tenancy transactions, regulate estate agents, limit agency and legal fees, and provide a structured mechanism for handling caution fees and refunds.

The proposed legislation also seeks to reduce disputes between landlords and tenants over property damage through joint inventories and professional valuations where necessary, check arbitrary rent increases and create a more transparent framework for tenancy-related charges.

The executive bill comes after an earlier bill sponsored by the member representing Nkanu East State Constituency, Hon. Okey Mbah, which had passed its first and second readings, with a public hearing also conducted by the House.

While advocating the earlier bill in March 2025, Okey Mbah raised concerns about the high costs prospective tenants were required to pay, including agency commissions, legal fees, caution fees and other charges.

He argued that the absence of effective regulation had created opportunities for exploitation, with some individuals allegedly posing as property agents to collect money from unsuspecting accommodation seekers without providing the promised services.

The earlier proposal sought to limit agency and legal fees to a maximum of 10 per cent of the rent, prohibit caution fees and introduce safeguards against irregular and fraudulent evictions. However, the final provisions will depend on the version of the legislation passed by the House.

Ugwu said the renewed legislative effort aligned with Mbah’s vision of making Enugu a preferred destination for business, investment, tourism and residential living.

The proposed amendment comes amid persistent complaints about the rising cost of accommodation in Enugu, where prospective tenants often face substantial additional charges beyond the rent demanded by landlords.

If passed and signed into law, the legislation could introduce greater transparency into tenancy transactions and provide a regulatory framework for the activities of property agents, while helping to protect tenants from excessive fees.

However, the effectiveness of the proposed reforms will depend on the final provisions of the law, the establishment of appropriate enforcement mechanisms and compliance by landlords, estate agents and legal practitioners.