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Case Brief · caselaw.co.ke
Court of AppealPartially AllowedCivil Application No. Nai. 3 of 2007· [2007] KECA 396 (KLR)

Real Ventures Limited & 3 others v Akiba Bank Limited & 2 others

Court of Appeal of Kenya
9 March 2007
1,352 words in judgment
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The bottom line

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Kenya's Court of Appeal allowed Real Ventures to start contempt proceedings against Endebess Development and its director, but refused broader protective orders because the applicants had already left the property.

What this practically means

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Executive summary

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This was an interlocutory application by Notice of Motion under Rule 5(2)(b) and Rule 47 of the Court of Appeal Rules seeking leave to commence contempt proceedings against Endebess Development Company Limited and its director, Hon. Fred Gumo, for breach of an undertaking recorded in the Court's order of 13th December 2006, together with a restraining order and police assistance. The order of 13th December 2006 had adjourned a stay/injunction application pending in Civil Application No. Nai. 287 of 2006 (UR.162/2006), arising from High Court Civil Case No. 534 of 2006 (Kasango J), after counsel Mr. Ochieng Oduol undertook to ensure the 2nd, 3rd and 4th applicants had access to the premises. The applicants, by then represented only by the 3rd and 4th applicants, alleged they had been evicted and that utilities had been disconnected. The 2nd respondent, through Mr. Oduol, maintained the undertaking was not breached and that the real dispute was over rent. The Court, in a unanimous ruling (O'Kubasu, Onyango Otieno and Deverell JJA), found on the affidavits that there may have been a breach of a court order pursuant to the undertaking and that Hon. Gumo's conduct fell short of honourable behaviour, but declined to make any further comment. It granted leave to commence contempt proceedings but refused the restraining order and the police-assistance order because the applicants had already left the premises, noting that rent disputes do not belong in the Court of Appeal. Costs were made costs in the intended appeal. The application was partially allowed.

Key legal issues

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01

Whether a breach of an undertaking given to the Court warranted leave to commence contempt proceedings

Holding

Leave was granted against the 2nd respondent and its director, the Court finding the conduct fell short of honourable behaviour although it stopped short of making a contempt finding.

Reasoning

The Court found that counsel for the 2nd respondent had given an undertaking that the 3rd and 4th applicants would have access to the premises, and from his own admission they were no longer there. Water and electricity disconnection had forced them out. On the affidavits of Adala and Gumo, the Court found there may have been a breach of a court order pursuant to the undertaking and that Gumo's conduct fell short of honourable behaviour, warranting leave but not a contempt finding at that stage.

p. 3
02

Whether coercive and protective orders could issue after the applicants had vacated the premises

Holding

No - the Court declined prayers 2, 3 and 4 as moot in effect since the applicants were already out of the premises.

Reasoning

The Court held that restraint and police-assistance orders serve no purpose once the applicants have left the premises, and that the rent dispute underlying the ouster belonged to another forum. The undertakings given on 13th December 2006 were interpreted as securing access to the premises only until the pending application was heard or further orders issued.

p. 3

Legal principles established

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  • An undertaking given to the Court by counsel, breaches of which may ground contempt proceedings, may be enforced by way of leave to commence contempt even where the underlying conduct is characterised by the other side as a rent dispute.
  • Rent disputes do not fall within the enforcement jurisdiction of the Court of Appeal in an incidental contempt application.

Court orders

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  1. 1.Leave granted to commence contempt proceedings against the 2nd respondent and its Director Hon. Gumo
  2. 2.Prayers 2, 3 and 4 of the application declined
  3. 3.Costs of the application to be costs in the intended appeal
Jurisdiction invoked
Rule 5(2)(b) and Rule 47 of the Court of Appeal Rules and the inherent power of the Court

Key timeline

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Practical implications

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Frequently asked questions

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Cite this brief

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Cite this brief

Caselaw, "Real Ventures Limited & 3 others v Akiba Bank Limited & 2 others", Case Analysis (2007). Civil Application No. Nai. 3 of 2007. Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2007/396/eng@2007-03-09

Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.