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Court of AppealPartially AllowedCivil Appeal No. 46 of 2011· [2015] KECA 375 (KLR)

Kenya Pipeline Company Limited v Stanley Munga Githunguri [2015] KECA 375 (KLR)

Court of Appeal
25 September 2015
3,388 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Kenya's Court of Appeal overturned an injunction granted to a Karen landowner, ruling he failed to prove a valid prima facie case for interim relief.

What this practically means

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Executive summary

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This was an interlocutory first appeal by Kenya Pipeline Company Limited against a ruling of the High Court (Okwengu J) of 10th December 2010 in ELC No. 395 of 2010, which granted the respondent leave to erect a fence and gate over an easement area, directed keys be availed to the appellant, restrained the appellant from removing the fence and gate, and enjoined the appellant from excavating or laying new pipes pending trial. The dispute arose from a 1991 easement granted over the respondent's Karen property for the appellant's petroleum pipeline. The respondent did not appear at the hearing despite service. The Court of Appeal framed the single issue as whether the respondent had satisfied the Giella v Cassman Brown conditions for an interlocutory injunction. Re-appraising the record under its first-appeal mandate, the court found that a fence and gate already existed by 2010, that the alleged destruction of the gate pre-dated the suit, and that the respondent's failure to specify what removal had recently occurred misled the trial judge. No prima facie case was therefore established. Damages were also adequate given the compensation already paid for the easement and repairs. The court reiterated that it will not readily interfere with discretionary decisions absent the five established grounds, and that it would not express conclusive views on the nature and extent of the easement, that being for the trial court. The appeal was allowed, the High Court ruling set aside, the respondent's chamber summons dismissed, with costs to the appellant both in the application and the appeal.

Key legal issues

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01

Principles for grant of interlocutory injunctions

Holding

The Giella v Cassman Brown three-stage sequential enquiry applies: prima facie case with probability of success, irreparable injury not compensable in damages, and balance of convenience if in doubt.

Reasoning

The court restated the settled three-stage test as separate, distinct and logical hurdles to be surmounted sequentially. The first stage asks whether the applicant has a prima facie case; if yes, the enquiry moves to adequacy of damages; if damages are inadequate, the court decides the balance of convenience. The learned trial judge was expected to test the facts against these stages.

p. 3
02

Whether a prima facie case was established by the respondent

Holding

No prima facie case was established because the substratum of the suit (the alleged removal of the fence and gate) was not in existence when the application was determined; the trial judge was misled by the respondent's general, unparticularised allegations of recent removal.

Reasoning

The court, re-appraising the evidence under its first-appeal mandate, found from the correspondence and affidavits that a fence, gate and keys existed by 2010, that destruction of a gate pre-dated the suit, and that the respondent never specified what removal or how recent it was. That omission likely led the trial judge into the misdirection that removal occurred during the pendency of the suit.

p. 5
03

Whether damages would be an adequate remedy

Holding

Damages would adequately compensate the respondent, since he had been compensated for the easement and for fence repairs and was in principle agreeable to the appellant's lawful activities.

Reasoning

Although land disputes are emotive and damages may not ordinarily be adequate, the record showed the respondent received consideration for the easement and reimbursement of repair costs, and had averred non-opposition to the appellant's lawful activities. Any breach of the easement could be compensated by damages assessable by the trial court. The second Giella limb therefore failed.

p. 5
04

Appellate interference with discretionary decisions

Holding

An appellate court will not interfere with a discretionary decision simply because it would have weighed factors differently; interference is only on the five established grounds (misdirection in law, misapprehension of facts, wrong considerations, omitted considerations, or plainly wrong decision).

Reasoning

Relying on Madan JA in United India Insurance v East African Underwriters, the court held that the grant of an interim injunction is a statutory and judicial discretion which will not be readily disturbed. Here, however, the trial judge was unwittingly led by the respondent into leaving out of account factors she should have considered, engaging the established grounds for interference.

p. 2

Legal principles established

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  • The Court of Appeal will not readily interfere with a discretionary decision of the High Court unless the discretion was not exercised judicially, per the five established grounds.
  • In an interlocutory appeal where the suit is yet to be tried, the Court of Appeal will refrain from expressing conclusive views on issues that may arise at trial.
  • At the interlocutory injunction stage the court does not hold a mini-trial; a prima facie case need only show a right threatened with violation, proved on a balance of probabilities.

Court orders

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  1. 1.Appeal allowed
  2. 2.High Court ruling and order of Lady Justice H. Okwengu dated 10th December 2010 set aside
  3. 3.Respondent's chamber summons application dated 24th August 2010 dismissed with costs
  4. 4.Appellant to have the costs of this appeal

Authorities

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Legislation

  • Court of Appeal RulesRule 5(2)(b)
  • Court of Appeal RulesRule 29(1)

Cases cited (14)

  • Mrao Ltd v First American Bank of Kenya Ltd & 2 others
    [2003] KLR 125
  • Nguruman Limited v Jan Bonde Nielsen & 2 others
    [2014] eKLR
  • Kamau v Kamau
    [KLR (E&L)I] 105
  • Giella v Cassman Brown & Company Limited
    (1973) EALR 358
  • David Kama Gakuru v National Industrial Credit Bank Ltd
    CA No. 84 of 2001
  • United India Insurance Co. Ltd v East African Underwriters (Kenya) Ltd
    [1985] E.A 898
  • E.A. Industries v Trufoods
    (1972) EA 420
  • Export Processing Zones Authority v Kapa Oil Refineries Limited & 6 others
    [2014] eKLR
  • Kenya Commercial Finance Co. Ltd v Afraha Education Society & Others
    Civil Application No. 142 of 1999 [2001] 1 EA 86
  • Habib Bank Ag Zurich v Eugene Marion Yakub
    CA NO. 43 OF 1982 (unreported)
  • National Bank of Kenya v Duncan Owour Shakali & Another
    CA NO. 9 of 1997
  • Vivo Energy Kenya Limited v Maloba Petrol Station Limited & 3 Others
    [2015] eKLR
  • Muiruri v Bank of Baroda (Kenya) Ltd
    K.L.R 2001 183
  • Trade Agrain Limited v Awal Limited
    [2004] eKLR
On appeal from
High Court of Kenya at Nairobi
ELC No. 395 of 2010
Jurisdiction invoked
First appeal under the Court of Appeal's Rules, including rule 5(2)(b) for interim relief and rule 29(1) for re-appraisal of evidence

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, "Kenya Pipeline Company Limited v Stanley Munga Githunguri [2015] KECA 375 (KLR)", Case Analysis (2015). Civil Appeal No. 46 of 2011. Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2015/375/eng@2015-09-25

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