Customary Tenancy Agreement (Abusa/Abunu) (Ghana)

A Customary Tenancy Agreement (Abusa/Abunu) in Ghana governs the letting of property, fixing the rent, duration and the duties of landlord and tenant.

Under the Abusa system, the tenant retains two-thirds of the produce or proceeds and delivers one-third to the landowner. Under the Abunu system, produce is divided equally — one-half to the tenant and one-half to the landowner. Both systems are deeply rooted in Ghanaian customary law and are particularly prevalent in cocoa-growing regions of the Ashanti, Eastern, Western, and Brong-Ahafo regions. Section 44 of the Land Act 2020 (Act 1036) recognises customary land rights and requires that transactions in customary land be evidenced in writing and registered with the Lands Commission under Part III of Act 1036.

The Lands Commission, established under the Lands Commission Act 2008 (Act 767) and continued under Act 1036, administers the registration of customary land rights in Ghana. The Land Title Registry, a division of the Lands Commission, records customary tenancy interests upon registration. Failure to register a customary tenancy does not necessarily extinguish the tenancy under Ghanaian customary law but weakens the tenant's security of title against third parties and makes eviction proceedings before the High Court (Land Division) more complex.

A Customary Tenancy Agreement in Ghana is distinct from a formal lease governed by Section 50 of Act 1036, which requires a definite term and payment of rent. Customary tenancies typically run for the duration of the crop cycle or by indefinite annual renewal and are terminable on customary notice. The Customary Land Secretariat (CLS) established in several traditional areas assists in documenting and certifying customary land transactions.

The customary law of the relevant traditional authority — whether Akan, Ga-Dangme, Ewe, or Northern customary law — governs the interpretation of the sharing arrangement where the written agreement is silent. The High Court of Ghana, exercising its jurisdiction under the Courts Act 1993 (Act 459), applies both statutory and customary law principles when adjudicating customary tenancy disputes. Parties executing a Customary Tenancy Agreement (Abusa/Abunu) in Ghana should seek attestation by the relevant traditional authority or Customary Land Secretariat and register the agreement with the Lands Commission for maximum security.

The legal framework governing the Customary Tenancy Agreement (Abusa/Abunu) (Ghana) in Ghana draws on several key statutes and regulatory bodies. Under the Land Act 2020 (Act 1036), the Lands Commission manages land registration in Ghana. Section 43 of the Land Act 2020 governs leases of stool and skin lands. The Office of the Administrator of Stool Lands (OASL) manages stool land revenue under Article 267 of the Constitution of Ghana 1992. The Land Court (High Court division) adjudicates land disputes. The Stamp Duty Act 2005 (Act 689) imposes duty on property instruments. Parties executing a Customary Tenancy Agreement (Abusa/Abunu) (Ghana) in Ghana should confirm the document reflects current law, including any amendments enacted since the original drafting date. The Land Act 2020 (Act 1036) sets the foundational requirements.

A Customary Tenancy Agreement (Abusa/Abunu) in Ghana is needed in the following circumstances.

A Customary Tenancy Agreement is required when a stool, skin, or family in Ghana grants a tenant the right to cultivate land — particularly for cocoa, oil palm, food crops, or rubber — on an Abusa or Abunu sharing basis. Without a written agreement, disputes over the share percentage, crop variety, duration, and responsibilities for farm maintenance frequently arise before the High Court (Land Division) or the Alternative Dispute Resolution Centre.

A Customary Tenancy Agreement is needed when a tenant-farmer in Ashanti, Eastern, Western North, Bono, or Bono East region seeks to secure their rights over farmland against claims by third parties or new family members who were not party to the original oral arrangement. Registration with the Lands Commission under the Land Act 2020 (Act 1036) gives the tenant's interest priority over unregistered subsequent dealings.

A Customary Tenancy Agreement is required when a financial institution — such as a rural bank, savings and loans company, or microfinance institution licensed by the Bank of Ghana — requires evidence of a tenant's interest in land before extending an agricultural loan, since customary tenancy rights are a recognised form of collateral under Ghanaian jurisprudence.

A Customary Tenancy Agreement is needed when parties wish to convert an Abusa arrangement to Abunu, or when a long-standing oral tenancy is being formalised to meet the requirements of an agricultural development project funded by the Ghana Cocoa Board (COCOBOD) or a development finance institution.

A Customary Tenancy Agreement is required when a non-citizen wishes to cultivate customary land in Ghana, since Section 10 of Act 1036 prohibits non-citizens from holding freehold interests in land in Ghana and customary tenancy is the appropriate vehicle for agricultural use by non-citizens within permitted categories.

Parties should prepare a Customary Tenancy Agreement (Abusa/Abunu) proactively and register it with the Lands Commission. Courts and tribunals interpret agreements based on their written terms rather than oral representations made during negotiation.

Parties in Ghana should prepare a Customary Tenancy Agreement (Abusa/Abunu) (Ghana) proactively rather than waiting for a dispute to arise. Courts interpret agreements based on the written terms rather than oral representations. Under the Land Act 2020 (Act 1036), the Lands Commission manages land registration in Ghana. Section 43 of the Land Act 2020 governs leases of stool and skin lands. The Office of the Administrator of Stool Lands (OASL) manages stool land revenue under Article 267 of the Constitution of Ghana 1992. The Land Court (High Court division) adjudicates land disputes. The Stamp Duty Act 2005 (Act 689) imposes duty on property instruments. Where the transaction involves regulated activities, prior approval from the relevant authority may be required before execution.

A valid Customary Tenancy Agreement (Abusa/Abunu) in Ghana under the Land Act 2020 (Act 1036) must contain the following essential elements.

Parties and Grantor Authority: Full names and addresses of the grantor (landowner — stool, skin, family, or individual) and the grantee (tenant-farmer), with the capacity in which the grantor acts — for example, Chief of [Stool] acting through the Customary Land Secretariat, or head of [Family]. Where the grantor is a stool or skin, the consent of the Lands Commission under Section 44 of Act 1036 may be required.

Land Description: A precise description of the land by plot number, locality, traditional area, and district, supported where possible by a site plan prepared by a licensed surveyor registered with the Survey and Mapping Division of the Lands Commission. Boundary beacons, landmarks, and acreage should be stated in accordance with Section 97 of Act 1036.

Sharing Formula — Abusa or Abunu: Clear specification of whether the tenancy operates on the Abusa formula (one-third share to grantor, two-thirds to tenant) or the Abunu formula (equal one-half share to each party), including whether the share applies to raw produce, processed goods, or sale proceeds.

Crop Type and Permitted Activities: The crops the tenant is permitted to cultivate — for example, cocoa (Theobroma cacao), oil palm (Elaeis guineensis), plantain, maize — and restrictions on tree felling, sand winning, or subletting without the grantor's written consent.

Duration and Renewal: The duration of the tenancy (tied to the crop cycle, a fixed number of years, or indefinitely renewable) and the conditions for renewal or termination, including the customary notice period.

Maintenance and Improvements: Obligations of each party regarding farm maintenance, replanting, purchase of inputs, and whether the tenant may make permanent improvements (shade trees, access roads, irrigation channels) and on what terms.

Produce Sharing and Payment: The timing and mechanism for sharing produce or proceeds — for example, after each harvest of the Ghana cocoa purchasing season supervised by Licensed Buying Companies (LBCs) operating under COCOBOD — and procedures for settling disputes over yield measurement.

Registration with Lands Commission: The obligation of both parties to present the agreement for registration at the appropriate Regional Lands Commission office under Part III of Act 1036, and to pay the applicable stamp duty assessed by the Ghana Revenue Authority (GRA) under the Stamp Duty Act 2005 (Act 689).

Governing Law and Dispute Resolution: Ghana law and the applicable customary law of the traditional area, with disputes referred to the High Court (Land Division) or the Alternative Dispute Resolution Centre (ADRC) under the Alternative Dispute Resolution Act 2010 (Act 798). Forms-legal.com provides this template as a starting point for Ghana-compliant customary land documentation.

Signatures and Witnesses: Signatures of the grantor, grantee, and at least two witnesses, together with the attestation of the traditional authority or Customary Land Secretariat where available.

Additional compliance elements for a Customary Tenancy Agreement (Abusa/Abunu) (Ghana) used in Ghana include: Under the Land Act 2020 (Act 1036), the Lands Commission manages land registration in Ghana. Section 43 of the Land Act 2020 governs leases of stool and skin lands. The Office of the Administrator of Stool Lands (OASL) manages stool land revenue under Article 267 of the Constitution of Ghana 1992. The Land Court (High Court division) adjudicates land disputes. The Stamp Duty Act 2005 (Act 689) imposes duty on property instruments. Forms-legal.com provides this template as a starting point for Ghana-compliant documentation.