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DEED OF ASSIGNMENT: EVERYTHING YOU NEED TO KNOW.

A Deed of Assignment refers to a legal document in which an assignor states his willingness to assign the ownership of his property to the assignee. The Deed of Assignment is required to effect a transfer of property and to show the legal right to possess it. It is always a subject of debate whether Deed of Assignment is a contract; a Deed of Assignment is actually a contract where the owner (the “assignor”) transfers ownership over certain property to another person (the “assignee”) by way of assignment. As a result of the assignment, the assignee steps into the shoes of the assignor and assumes all the rights and obligations pertaining to the property.

In Nigeria, a Deed of Assignment is one of the legal documents that transfer authentic legal ownership in a property. There are several other documents like a deed of gifts, Assent, etc. However, this article focuses on the deed of assignment.

It is the written proof of ownership that stipulates the kind of rights or interests being transferred to the buyer which is a legal interest.

Read Also: DIFFERENCE BETWEEN TRANSFER OF PROPERTY THROUGH WILLS AND DEED OF GIFT

CONTENTS OF A DEED OF ASSIGNMENT

Content of a Deed of Assignment matters a lot to the transaction and special skill is needed for a hitch-free transaction. The contents of a deed of assignment can be divided into 3 namely; the introductory part, the second (usually the operative part), and the concluding part.

• THE INTRODUCTORY PART: This part enumerates the preliminary matters such as the commencement date, parties in the transaction, and recitals. The parties mentioned in the deed must be legal persons which can consist of natural persons and entities with corporate personality, the name, address, and status of the parties must be included. The proper descriptions of the parties are the assignor (seller) and assignee (buyer). The Recitals give the material facts constituting the background to the current transaction in chronological order.
• THE SECOND PART (USUALLY THE OPERATIVE PART): This is the part where the interest or title in the property is actually transferred from the assignor to the assignee. It is more like the engine room of the deed of assignment. The operative part usually starts with testatum and it provides for other important clauses such as the consideration (price) of the property, the accepted receipt by the assignor, the description of the property, and the terms and conditions of the transaction.
• The testimonium : this shows that all the parties are involved in the execution of the deed.
• Execution : this means signing. The capacity of the parties (either individual, corporate bodies, illiterates) is of great essence in the mode of execution.  It is important to note that the type of parties involved determines how they will sign. Example 2 directors or a director/secretary will sign if a company is involved. In the same way, if an association, couple, individual, illiterate, family land (omonile), firm, unregistered association, etc. is involved the format of signature would be different.
• Attestation : this refers to the witnessing of the execution of the deed by witnesses.

For a Deed of Assignment to be effective, it must include a column for the Governor of the state or a representative of the Government where the property is, to sign/consent to the transaction. By virtue of Sec. 22 of the Land Use Act, and Sec. 10 Land Instrument Registration Law, the Governor must consent to the transaction.

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Disclaimer: The above is for information purposes only and should not be construed as legal advice. Ibejulekkilawyer.com (blog) shall not be liable to any person(s) for any damage or liability arising whatsoever following the reliance of the information contained herein. Consult us or your legal practitioner for legal advice.

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Deed of Assignment and Novation

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An assignment agreement transfers one party’s rights under a contract to another party. The party transferring their rights is the assignor; the party receiving them is the assignee. Under an assignment, only the benefits of the contract are transferred whilst the obligations remain with the assignor. Novation is a mechanism where one party transfers all its obligations and rights under a contract to a third party, with the consent of the original counterparty. This standard document has integrated notes with important explanations and drafting tips.

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Transfer of lease and Title deeds in Nairobi, Kenya

• Title transfer.

How to sell an apartment in Kenya.

As Property lawyers in Kenya, we providing our clients with reliable legal and advisory services on sale and transfer of title deeds and leases in Kenya.

• Offers to purchase
• Agreement for sale
• Consent and clearance
• Transfer and registration.

We offer and experienced Conveyancing process in Kenya, assisting clients with the process of compliance, the sale agreement, transferring ownership of the apartment or property from the seller to the purchaser.

Transfer of a apartment lease title in Kenya.

At Kazi Legal, we understand the complexities of property law and conveyancing in Kenya. We have a team of experienced and knowledgeable lawyers and legal assistants who can provide you with expert advice and guidance in all aspects of property law and conveyancing in kenya. Our services include:

How to sell a property or apartment in Kenya.

Applications for clearance certificates.

Before placing an apartment or property for sale, the seller should pay any outstanding arrears on land rent and property rates and obtain land rent clearance and land rates clearance certificates. The clearance certificates indicate that the property is free and clear for transfer.

• Freehold property is not subject to the requirement of payments for either land rent or rates.
• Both these clearance certificates are required for the registration of the transfer of title from a seller to a buyer.

Land rent is levied on leasehold land where the annual rent has been reserved. The land clearance certificate proves that payment of land rent is current. It is issued upon application once all outstanding levies are paid and is valid for one year from the date it is issued.

Search and Verification of Property Ownership.

The buyer shall request the seller to provide a current copy of the property’s title deed which shall be used to perform a property search at the land registry under whose jurisdiction the property falls. The search shall confirm the identity of the owner(s) of the property. The objective of a search is:

• To confirm the real owner(s) of the property
• To confirm the status of the property, specifically to confirm if the title has been charged or has a caveat placed against its transfer.

Depending on the jurisdiction under which the property falls, the search may possibly be done Online using Online platform or through manual records search at the relevant land registry and should cost you KES 500.

Survey map - Verification of Property Status.

Purchase survey plans of the property. These specialized maps show delineated boundary locations, building locations and other physical demarcations. The maps can be obtained from Ministry of Lands, Department of Surveys. Specifically, a prospective buyer will want to obtain two maps – one showing the properties immediately surrounding the one under consideration, and the other giving the exact measurements of the subject property called the mutation map. Each will cost under KES 500.

With THE maps, the buyer can contract a surveyor to visit the property along with the seller to verify whether the details of the property on the official maps match with those physically on the ground. The verification will ascertain both the physical dimensions of the property as well as to the physical location of the property.

The importance of physical verification cannot be overstated. A prospective buyer will be able to ascertain any limiting factors that may impede enjoyment of the property such as riparian paths, road reserves, and wayleaves for trunk lines for mains electricity, water or for sewerage placed in close proximity to or on the property. While these may not necessarily be “deal-breakers” they can be and may even impact on the decision to purchase.

Physical verification will also be the opportunity to get a lay of the land, mark out the placement of the property’s beacons of the property or have a surveyor reestablish them on the day of the visit.

Letter of Offer and Sale Agreement

Once terms and price have been negotiated and tacitly agreed upon, the buyer can commit to acquiring the property via the offer letter. The seller, through their lawyer, will then provide a written sale agreement.

The fees charged for legal representation on property transactions are subject to the value of the property and as prescribed in the Advocates Remuneration Order

Application for Transfer Consent and Payment of Deposit

Once the Sale Agreement has been approved and signed by all the parties to the transaction and their witnesses, the transfer consent documentation shall be prepared and all the attendant transfer documentation attached including the buyer’s and seller’s identification documents, their PIN certificates and photographs. The buyer shall proceed to pay the stipulated deposit amount for the transaction to proceed and the transfer shall proceed.

Pay the Balance of Agreed Purchase Price and Stamp Duty

At this stage, the transfer of the property from the seller to the buyer has been approved but has not yet been registered. There is no impediment stopping the buyer from dispensing with the payments to the seller at this point.

Before a transfer can be registered, the buyer is required to pay for stamp duty. The buyer initially obtains a payment authorization slip Online via Kenya Revenue Authority Itax portal and then proceeds to make payments via bank deposit. The current stamp duty rates are 4% of the valuation amount for lands within municipalities (leasehold property) and 2% for land outside municipalities (freehold property). The valuation of the property is not necessarily the sale price but the valuation of the property as determined by the government valuer.

Registration of Transfer

Having dispensed with any dues to the seller, sought the approval from the Land Control Board approving the transfer and paid all stamp duty charges, the transfer of the property from the seller to the buyer can now be registered.

With the approved consent, a recent search (not older than 6 months), the clearance certificates for land rent and rates, the survey maps, sale agreement, personal documentation (identity, PIN, passport photos) and a copy of the title deed, the buyer can then proceed the Ministry of Lands and Physical Planning to apply for change of ownershipThe cost for registration of change of ownership is KES 5,000.

Issuance of Title Deed and Verification of Registration Status

Once a transfer is registered, the Ministry of Lands will issue a title deed to the new owner of the property issued in his/her names. To ascertain that the transfer has been registered, the new owner should go back to the land registry and apply for a search to be undertaken on the subject property. The search should now reveal the new legal owner and title bearer of the subject property. Following the transfer, all rights and responsibilities attaching to the property are assigned to the new owner.

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• Deed of Assignment of Trademarks in Kenya
• Intellectual Property

A Deed of Assignment of trademarks in Kenya is a legal document that formalizes the transfer of ownership from one party (assignor) to another (assignee). Trademarks, encompassing logos, brand names, and distinctive symbols, serve as identifiers of a business’s goods or services. The deed acts as tangible evidence of the contractual agreement between the parties involved in the transfer, ensuring a smooth transition of trademark rights.

Legal Requirements:

For a Deed of Assignment to be valid in Kenya, certain legal requirements must be met. These include:

• In Writing: The deed must be in writing to be legally enforceable. Verbal agreements are generally not sufficient in the context of trademark assignments.
• Clear Identification of Trademarks: The trademarks being assigned must be identified in the deed. This includes providing detailed descriptions of the trademarks, such as logos, slogans, and any associated goodwill.
• Consideration: The deed should specify the consideration or payment made for the transfer of trademark rights. While it may not always be monetary, the consideration could include goods, services, or any other agreed-upon form of payment.
• Consent and Signatures: The assignment must be consensual, with both parties willingly agreeing to the transfer. The deed should include the signatures of both the assignor and assignee, signifying their acceptance of the terms.
• Registration with the Trademarks Office (KIPI): It is mandatory to register the Deed of Assignment with the KIPI, otherwise it would not be enforceable.

Legal Implications:

The Deed of Assignment carries various legal implications, impacting both parties involved in the transfer of trademark ownership. Some key considerations include:

• Continuity of Rights: The assignee inherits all the rights associated with the trademarks, including the right to use, license, or enforce them against potential infringers.
• Obligations of the Assignor: The assignor typically covenants that they are the rightful owner of the trademarks and have the authority to transfer the rights. They may also undertake not to use similar marks in competition with the assignee.
• Protection against Infringement: The assignee gains the ability to take legal action against any third parties infringing upon the assigned trademarks.
• Goodwill Transfer: If the trademarks are associated with a certain goodwill, the Deed of Assignment ensures the transfer of this valuable intangible asset.

If you would like us to help you draft and register a deed of assignment of trademark in Kenya, please contact us on [email protected] or by phone/WhatsApp at +254726328555.

Legal Guide to Debt Acknowledgement Agreements in Kenya

• COMMERCIAL LAW

Legal Guide to Debt Acknowledgement Agreements

What is a Debt Acknowledgement Agreement?

A debt acknowledgement agreement or deed (AOD) is a written contract in which the debtor states that they owe the creditor a stated sum of money and they will pay the said sum fully by a certain date or in instalments spread out over a stipulated period (acknowledgement of indebtedness). It is also called a debt acknowledgement and debt settlement (or repayment) deed.

The purpose of a debt acknowledgement deed is to provide to the creditor, a liquid document setting out an amount of outstanding debt, that the creditor can rely on as evidence of a debt should the matter come up in a  suit in court for debt recovery .

How to Draft a Debt Acknowledgement

It is advisable to draft the acknowledgement of debt template/sample for use in your business in the form of a deed as opposed to an agreement for the following reasons

• A deed need not be supported by contractual consideration as other forms of agreements. One of the ingredients of a valid contract in Kenya is that there must be some form of consideration exchanged between the parties unless the contract is in the form of a deed. In a debt acknowledgement deed, there is no need to prove exchange of consideration for it to be legally binding.
• Under a debt acknowledgement deed, the consideration that the creditor receives is: the preclusion of the debtor claiming that he does not owe the money to the creditor. On the other hand, the creditor in this deed does not need to give any consideration in exchange for the promise of the debtor that indeed he owes the creditor the sum of money stated to be owed in the deed of acknowledgement and will pay it on a certain date.

Is it Detrimental to use a Debt Acknowledgement “Agreement” instead of a Deed?

Case law on debt acknowledgements has established that a debt acknowledgement document drafted as an agreement instead of a deed is not necessarily defective if one drafts the agreement in such a way to clearly show the type of consideration that the creditor gave to the debtor in exchange for the debtor’s promise that indeed he owes the debt and the attendant undertaking to pay the said debt by a certain date.

Such consideration would for instance be, a forbearance not to sue the debtor on the debt until a set time in the future. But in practical terms while such a promise would be consideration under the doctrine of freedom of contract, it would not be very helpful to a creditor to make such a counter-promise to the debtor simply for the satisfaction of drafting an agreement as opposed to a deed.

When to Issue a Deed of Debt Acknowledgement of Debt and Settlement of Debt

After default of any underlying commercial contract where the debtor ends up owing the creditor (for instance a loan agreement, sale agreement, supply agreement, licensing agreement or distributorship agreement), the creditor shall endeavour to issue a standard debt acknowledgement deed to the debtor for signature, in which deed,  the debtor shall unequivocally agree that he owes a stated amount of debt to the creditor and the agreed payment terms and the dates on which this payment shall be made. The creditor is advised to pay stamp duty on this deed to ensure it is enforceable in court.

Is a Verbal Acknowledgment of Debt Permissible?

As stated above, one of the requirements for a valid acknowledgement of debt is that a debt acknowledgement needs to be in the form of a deed; therefore, this precludes the validity of a verbal acknowledgement of debt. In any case a written acknowledgement of debt is more persuasive.

Enforcement of a Deed of Debt Acknowledgement

Under Order 36 of the Rules made under the Civil Procedure Act of Kenya, the law allows for summary action and judgement on a liquidated claim such as that evidenced by a debt acknowledgement deed. Tying the deed to this procedure under law, the deed will facilitate a summary court action against the debtor should the debtor fail to adhere to any payment terms. Additionally, the deed could support an application for judgement on admission in the alternative.

The benefit of the deed of debt acknowledgement to the creditor is that in a debt recovery action, an application can be made by the creditor to the court for summary judgement; and once presented to court as evidence, a valid debt acknowledgement deed is prima facie proof of the debt.

In the summary action, the plaintiff creditor seeks only to recover a debt or liquidated demand in money payable by the defendant debtor. The application for summary judgement will be accompanied by the necessary affidavit and proof of the debt and the onus is on the defendant debtor to prove that that debt (or the deed of acknowledgment) is not valid and mere denials will not do in the face of an acknowledgment of debt validly signed by the debtor promising to repay said debt on specified date(s) as held in Telkom Kenya Limited v Kenya Railways Corporation [2018] eKLR.

The provision of general information herein does not constitute an advocate-client relationship with any reader. All information, content, and material in this article are for general informational purposes only. Readers of this article should get in touch with us/a qualified advocate to obtain legal advice with respect to any particular legal matter.

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Assignment of Rents – What, Why, and How?

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• November 29, 2023

These days, almost all commercial loans include an Assignment of Rents as part of the Deed of Trust or Mortgage. But what is an Assignment of Rents, why is this such an important tool, and how are they enforced?

An Assignment of Rents (“AOR”) is used to grant the lender on a transaction a security interest in existing and future leases, rents, issues, or profits generated by the secured property, including cash proceeds, in the event a borrower defaults on their loan. The lender can use the AOR to step in and directly collect rental payments made by the tenant. For an AOR to be effective, the lender’s interest must be perfected, which has a few fairly simple requirements. The AOR must be in writing, executed by the borrower, and recorded with the county where the property is located. Including an AOR in the recorded Deed of Trust or Mortgage is the easiest and most common way to ensure the AOR meets these requirements should it ever need to be utilized.

When a borrower defaults, lenders can take advantage of AORs as an alternative to foreclosure to recoup their investment. With a shorter timeline and significantly lower costs, it is certainly an attractive option for lenders looking to get defaulted borrowers back on track with payments, without the potential of having to take back a property and attempting to either manage it or sell it in hopes of getting your money back out of the property. AORs can be a quick and easy way for the lender to get profits generated by the property with the goal of bringing the borrower out of default. But lenders should carefully monitor how much is owed versus how much has been collected. If the AOR generates enough funds so that the borrower is no longer in default, the lender must stop collecting rents generated by the property.

Enforcement of an AOR can also incentivize borrowers to work with the lender to formulate a plan, as many borrowers rely on rental income to cover expenses related to the property or their businesses. Borrowers are generally more willing to come to the table and negotiate a mutual, amicable resolution with the lender in order to protect their own investment. A word of warning to lenders though: since rental income is frequently used to pay expenses on the property, such as the property manager, maintenance, taxes, and other expenses, the lender needs to ensure they do not unintentionally hurt the value of the property by letting these important expenses fall behind. This may hurt the lender’s investment as well, as the property value could suffer, liens could be placed on the property, or the property may fall into disrepair if not properly maintained. It is also important for lenders to be aware of the statutes surrounding the payment of these expenses when an AOR is being used, as some state’s statutes require the lender to pay certain property expenses out of the collected rents if requested by the borrower.

In addition to being shorter and cheaper than foreclosure, AORs can be much easier to enforce. In California, the enforcement of an AOR is governed by California Civil Code §2938. This statute specifies enforcement methods lenders can use and restrictions on use of these funds by the lender, among other things. Under CA Civil Code §2938(c), there are 4 ways to enforce an AOR:

• The appointment of a receiver;
• Obtaining possession of the rents, issues, profits;
• Delivery to tenant of a written demand for turnover of rents, issues, and profits in the correct form; or
• Delivery to assignor of a written demand for the rents, issues, or profits.

One or more of these methods can be used to enforce an AOR. First, a receiver can be appointed by the court, and granted specific powers related to the AOR such as managing the property and collecting rents. They can have additional powers though; it just depends on what the court orders. This is not the simplest or easiest option as it requires court involvement, but this is used to enforce an AOR, especially when borrowers or tenants are uncooperative. Next is obtaining possession of the rents, issues, profits, which is exactly as it seems; lenders can simply obtain actual possession of these and apply the funds to the loan under their AOR.

The third and fourth options each require delivery of a written demand to certain parties, directing them to pay rent to the lender instead of to the landlord. Once the demand is made, the tenant pays their rent directly to the lender, who then applies the funds to the defaulted loan. These are both great pre-litigation options, with advantages over the first two enforcement methods since actual possession can be difficult to obtain and courts move slowly with high costs to litigate. The written demands require a specific form to follow called the “Demand To Pay Rent to Party Other Than Landlord”, as found at CA Civil Code §2938(k). There are other notice requirements to be followed here, so it is essential to consult with an experienced attorney if you are considering either of these options. California Civil Code §2938 specifically provides that none of the four enforcement methods violate California’s One Action Rule nor the Anti-Deficiency Rule, so lenders can confidently enforce their AORs using the above methods with peace of mind that they are not violating other California laws.

Whether you are looking to originate a new loan, or you are facing a default by your borrower, understanding what an Assignment of Rents is and how it operates can be extremely beneficial. Enforcing an AOR can be an easier option than foreclosure and can help promote a good relationship with your borrower when handled correctly. If you have any questions about AORs, or need further details on how to enforce them, Geraci is here to help.

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• You’ll feel the lively spirit of bustling city life the minute you pull into Moscow. Some 35 mi from Elektrostal, it has loads of fantastic spots to visit, like Red Square.
• About 35 mi away, Ryazan is another location worth putting on your travel itinerary. Don’t forget to stop by Monument to Evpatiy Kolovrat during your visit.
• After all that time behind the wheel, treat yourself to a dose of nature at Nikola-Lenivets Art Park. It’s roughly 130 mi from Elektrostal.

Car Rental Information

Finding the cheapest car rentals in elektrostal, using our search wizard.

If the deals that are available on our page do not suit your needs, then enter Elektrostal into the search wizard at the top of the page. We will compare all the best deals available for your car rental in Elektrostal and provide you with a list of the cheapest options, with no added fees.

Renting a car in Elektrostal

Pay at pickup is available, so you don’t have to worry about spending your money until you arrive at your vehicle in Elektrostal . We partner with reliable partners that guarantee an enjoyable experience for solo travelers, couples, and families. Package your car with a flight or hotel to unlock even more savings from Expedia.

Expected prices in Elektrostal

Prices are subject to seasonal change depending on when you decide to arrange your car rental but right now you can book .

Flexibility & Cancellation

Most car suppliers offer penalty-free cancellations, so you don’t have to worry about losing money if your plans change. To cancel your booking log into your account through the Trips portal. Click manage booking and cancel this car. If you needed to alter your booking, then you can create a new one once you have canceled.

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Car classes available from Expedia in 2024

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