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Court of AppealDismissedCivil Appeal No. 314 of 2014· [2016] KECA 577 (KLR)

Muthee v Munga & Others & another (Civil Appeal 314 of 2014) [2016] KECA 577 (KLR)

Court of Appeal
19 May 2016
4,594 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
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The bottom line

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The Court of Appeal dismissed an administrator's bid to save a deceased's property from auction because she lacked proper legal authority and had hidden other court orders.

What this practically means

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Executive summary

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This was a first appeal to the Court of Appeal from the ruling of Nduma, J of the Industrial Court delivered on 11th July 2014, dismissing the appellant's application dated 30th January 2014 to review or set aside consent orders made on 11th December 2013. Those consent orders, adopted in proceedings for examination of the directors of African Safari Club Limited over a decree of Shs.137,400,025 in favour of 368 former employees, provided for a prohibitory order and public auction of a Shanzu plot registered in the name of the deceased director, Karl Jacob Ruedin. The appellant, who had obtained letters of administration ad colligenda bona and interim injunctions from the High Court at Mombasa preserving the property, appealed on 13 grounds including that substantive orders were made at a mention without a hearing, breach of natural justice, and unlawful attachment of a director's private property for company debts. The Court of Appeal held that the notice of appeal challenged only the ruling of 11th July 2014 and not the consent orders of 11th December 2013, against which no appeal had been filed, so the grounds attacking the consent orders were not properly before it. On review, the Court found no error: the appellant had made material non-disclosure to the High Court of the Industrial Court orders and was not entitled to the Order 45 discretion. On locus standi, the Court held that a grant ad colligenda bona, limited to preserving the estate, conferred no authority to file actions on behalf of the deceased, and the appellant, who was also conflicted as both administrator and advocate of the estate, lacked standing. The appeal was dismissed with costs.

Key legal issues

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01

Scope of the limited grant ad colligenda bona and locus standi

Holding

The appellant, holding only a grant ad colligenda bona limited to preserving the estate, lacked locus standi to apply for review of the consent orders; such a grant does not authorize filing actions on behalf of a deceased person

Reasoning

Section 67 of the Law of Succession Act and Rule 36 of the Probate and Administration Rules limit a grant ad colligenda bona to collecting and preserving the estate until a further grant is made. Consistent authority, including Otieno v Ougo and Chudasama, holds that a litigant is clothed with locus standi only upon a limited or full grant. The appellant's grant was never confirmed, so she could not move the court on behalf of the estate.

p. 7
02

Review or setting aside of consent orders under Order 45

Holding

The appellant failed to satisfy the conditions for review; she was aware of the Industrial Court orders yet obtained contradictory injunctions from the High Court without disclosing them, constituting material non-disclosure

Reasoning

Order 45 requires discovery of new and important matter, an error apparent on the face of the record, or other sufficient reason, without unreasonable delay. The appellant instead crossed to another court of concurrent jurisdiction and obtained injunctions contradicting the Industrial Court orders without disclosing them. She was therefore not entitled to the exercise of the court's discretion.

p. 6
03

Competence of the appeal in relation to the consent orders

Holding

The notice of appeal challenged only the ruling of 11th July 2014, not the consent orders of 11th December 2013, so the grounds attacking the consent orders were not properly before the Court

Reasoning

The notice of appeal specified appeal against the decision of 11th July 2014. Since no appeal was filed against the consent orders of 11th December 2013, the issues of substantive orders made at a mention, breach of natural justice, and attachment of the deceased's property were not before the learned judge and are not before this Court.

p. 6
04

First appeal on facts

Holding

As a first appellate court the Court re-evaluates evidence but will not interfere with findings of fact absent no evidence, misapprehension, or wrong principles

Reasoning

Relying on Sumaria v Allied Industries and Mwanasokoni v Kenya Bus Service, the Court restated the settled principles governing interference with trial court factual findings and found no error in the learned judge's treatment of the application.

p. 1

Legal principles established

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  • A Court of Appeal will not interfere with findings of fact by a trial court unless based on no evidence, a misapprehension of the evidence, or wrong principles
  • A grant of letters of administration ad colligenda bona does not confer authority on its holder to file an action in court on behalf of a deceased person; a suit filed without a full or appropriately limited grant is incompetent from inception
  • Any decision sought to be appealed against must be based on a notice of appeal filed against that specific decision; an appeal cannot be used to attack orders against which no notice of appeal was filed
  • Courts of concurrent jurisdiction cannot stay each other's orders; material non-disclosure to one court to obtain orders contradicting another court's orders disentitles a party to the discretion of review
  • Locus standi is a threshold point of law akin to jurisdiction; lack of capacity to sue renders a suit incompetent

Court orders

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  1. 1.Appeal dismissed with costs

Authorities

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Legislation

  • Constitution of Kenya, 2010Article 162(2)(a)
  • Constitution of Kenya, 2010Article 169
  • Constitution of Kenya, 2010Article 159
  • Industrial Court Act, 2011Section 4(1)
  • Labour Institutions Act, No. 12 of 2007Section 15(c)
  • Law of Succession Act, Cap 160Section 67
  • Probate and Administration RulesRule 36
  • Civil Procedure RulesOrder 45
  • Civil Procedure RulesOrder 50 (Order L) rules 1 and 2
  • Civil Procedure ActSections 1A, 1B, 3, 3A and 63
  • Companies ActSection 211
  • Advocates Practice RulesRule 9
  • Court of Appeal RulesRule 75
  • Court of Appeal RulesRule 5(2)(b)
  • Court of Appeal RulesRule 74(3)
  • Appellate Jurisdiction Actoverriding objective

Cases cited (12)

  • Sumaria and Another v Allied Industries Limited
    [2007] 2 KLR 1
  • Mwanasokoni vs. Kenya Bus Service Limited
    [1985] KLR 931; Civil Appeal No. 35 of 1985 Mombasa (unreported)
  • Kahawa Sukari Limited
    (2004) [EA 93]
  • Nairobi City Council v Resley
    [2002] 2 E.A 487
  • Nguruman Limited v Shompole Group Ranch & Anor
    [2014] eKLR
  • Samuel Kamau Macharia & Anor v Kenya Commercial Bank Limited & 2 Others
    [2008] KLR 61
  • Otieno v Ougo & Anor
    [1986-1989] EALR 468
  • Rajesh Pranjivan Chudasama v Sailesh Pranjivan Chudasama
    [2014] eKLR
  • Virginia Edith Wamboi Otieno v Joash Ochieng Ougo & Another
    (1982-99) 1 KAR
  • Morjaria v Abdalla
    [1984] KLR 490
  • Trouistik Union International & Another v Jane Mbeyu & Another
    Civil Appeal No. 145 of 1990
  • Alfred Njau & Others v City Council of Nairobi
    [1982-88] 1 KAR 229
On appeal from
Industrial Court at Nairobi
Industrial Cause No. 133 (N) of 2008
Jurisdiction invoked
First appeal under the Appellate Jurisdiction Act and the Court of Appeal Rules from the Industrial Court, a court of equal status to the High Court under Article 162(2)(a) of the Constitution as read with Section 4(1) of the Industrial Court 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, "Muthee v Munga & Others & another (Civil Appeal 314 of 2014) [2016] KECA 577 (KLR)", Case Analysis (2016). Civil Appeal No. 314 of 2014. Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2016/577/eng@2016-05-19

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