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Court of AppealDismissedCivil Application No. 141 of 2009 (UR 95/2009)· [2015] KECA 797 (KLR)

Mwaniki Wa Ndegwa v National Bank Of Kenya Ltd & 3 others [2015] KECA 797 (KLR)

Court of Appeal
17 April 2015
1,666 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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The Court of Appeal refused to revive stay orders the applicant lost by repeatedly breaking payment conditions, ruling it had no power to reconsider the matter.

What this practically means

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Executive summary

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This is a ruling of the Court of Appeal at Nairobi (Nambuye, Ouko and J. Mohammed, JJ.A) delivered on 17 April 2015 on the applicant's motion in Civil Application No. 141 of 2009, arising from HCCC No. 86 of 2000 and related to Civil Appeal No. 124 of 2008. The applicant sought to maintain injunction and stay orders granted on 25 September 2009 on condition that he pay Kshs. 150,000 monthly into a joint interest-bearing account, and to maintain the transfer of the suit property L.R. No. 3734/198 to the 3rd respondent while barring further transactions, pending the hearing of the main appeal. The Court held that the Civil Procedure Act provisions invoked were inapplicable, as the Act applies only to the High Court and subordinate courts. The applicant had defaulted ten times on the payment condition, whereupon the stay application stood dismissed automatically under the default clause and the injunction and stay orders were discharged; the property was transferred to the 3rd respondent. A prior majority decision of the Court (Musinga and Gatembu, JJ.A) had already found the transfer lawful. The Court held that it was functus officio, having exhausted its jurisdiction under Rule 5(2)(b), and that inherent jurisdiction under sections 3A and 3B of the Appellate Jurisdiction Act does not confer jurisdiction per se but is only a repository power exercisable within the law. Given that the 3rd respondent had taken possession and installed a new tenant, no order reverting to the earlier position was possible. The application was found to be an abuse of the court process and dismissed with costs.

Key legal issues

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01

Inapplicability of the Civil Procedure Act to Court of Appeal proceedings

Holding

The provisions of the Civil Procedure Act (sections 1A, 1B and 3A) and rules cited in the application do not apply to Court of Appeal proceedings because the Act applies only to the High Court and subordinate courts.

Reasoning

Section 1 of the Civil Procedure Act confines the Act and rules made under it to proceedings in the High Court and subordinate courts. Accordingly the procedural anchors invoked by the applicant were inapplicable, leaving only the Appellate Jurisdiction Act and the Court of Appeal Rules as possible sources of jurisdiction for the application.

p. 2
02

Functus officio and the limits of inherent jurisdiction

Holding

Having granted stay and injunction orders on terms which, upon the applicant's repeated default, caused the application to stand dismissed automatically, the Court exhausted its jurisdiction under Rule 5(2)(b) and cannot maintain, revive or re-grant those orders; inherent jurisdiction does not supply the missing jurisdiction.

Reasoning

Inherent jurisdiction is a residual, repository power, not an independent source of jurisdiction; it is invocable only for the ends of justice, to prevent abuse of process and to do justice between parties, and must be exercised within the law. The prior orders were discharged by operation of the default clause, a subsequent majority decision confirmed the transfer was lawful, and the factual position on the ground (the 3rd respondent has taken possession and installed a new tenant) means no order reverting to the earlier position can be made.

p. 3
03

Abuse of court process through multiplicity of applications

Holding

The application, being one of a multiplicity of endless applications brought despite clear default and prior adverse findings, constitutes an abuse of the court process and must be dismissed.

Reasoning

The Court had earlier in 2009 granted the applicant a lifeline on conditions which he repeatedly breached, and in December 2014 a majority decision found no basis for setting aside the transfer. The Court recalled its earlier observation that the bank and purchaser would suffer greater frustration from a multiplicity of endless suits and applications, and held that the numerous applications must now come to an end.

p. 4

Legal principles established

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  • The Civil Procedure Act and rules made thereunder apply only to proceedings in the High Court and subordinate courts, not to the Court of Appeal
  • Inherent jurisdiction under sections 3A and 3B of the Appellate Jurisdiction Act does not per se confer jurisdiction; it is a repository power exercisable only within the law and for the ends of justice
  • The Court of Appeal cannot issue an injunction or order for a stay outside Rule 5(2)(b), and once a stay application stands dismissed by operation of a default clause, the Court is functus officio and cannot maintain or revive those orders

Court orders

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  1. 1.The application is dismissed with costs

Authorities

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Legislation

  • Appellate Jurisdiction Actsection 3(2)
  • Appellate Jurisdiction Actsections 3A and 3B
  • Civil Procedure Actsections 1A, 1B and 3A
  • Civil Procedure Actsection 1
  • Court of Appeal RulesRule 5(2)(b)
  • Court of Appeal RulesRule 42(1)

Cases cited (2)

  • Ryan Investments Ltd & Another v. United States of America
    [1970] EA 675
  • The Matter of the Estate of George M'Mboroki
    Meru HCCC No. 357 of 2004
On appeal from
High Court
H.C.C.C. 86 of 2000
Jurisdiction invoked
Sections 3(2) of the Appellate Jurisdiction Act and Rules 5(2)(b) and 42(1) of the Court of Appeal Rules; inherent jurisdiction under sections 3A and 3B of the Appellate Jurisdiction Act

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, "Mwaniki Wa Ndegwa v National Bank Of Kenya Ltd & 3 others [2015] KECA 797 (KLR)", Case Analysis (2015). Civil Application No. 141 of 2009 (UR 95/2009). Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2015/797/eng@2015-04-17

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