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Court of AppealPartially AllowedMombasa Civil Appeal No. 42 of 2020· [2021] KECA 65 (KLR)

Ngai & 6 others v Sparkle Properties Limited & 2 others (Civil Application 69 of 2020) [2021] KECA 65 (KLR)

Court of Appeal of Kenya
8 October 2021
1,306 words in judgment
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The bottom line

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Kenya's Court of Appeal stopped an eviction pending appeal, holding that demolishing the appellants' structures would make a successful appeal worthless.

What this practically means

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Executive summary

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This was an application under rule 5(2)(b) of the Court of Appeal Rules by the 1st to 7th applicants seeking an injunction to restrain the 1st respondent from evicting them from Plot No. LR 1956/506 Voi pending the hearing of their appeal (Mombasa Civil Appeal No. 42 of 2020) against a judgment in Mombasa ELC No. 265 of 2013. At trial, the 1st respondent's suit had been allowed and the applicants' counterclaim - seeking cancellation of the lease and restraint of trespass - dismissed in its entirety. The applicants argued their appeal was arguable on whether the suit land could validly be transferred without adherence to the special conditions of the lease and on the effect of the absence of a company resolution on the legality of the purchase and transfer. They also warned that the 1st respondent had sought police security to execute the decree by demolishing their structures, rendering a successful appeal nugatory. The 1st respondent opposed, contending there was no valid appeal because the notice of appeal and record were filed out of time without leave, and that the applicants had not disclosed a dismissed stay application before the trial court. The court applied the settled twin-limb test from Stanley Kangethe Kinyanjui v Tony Ketter, found the appeal arguable, and held that eviction and demolition would render a successful appeal nugatory. On the timeliness objection, following Agricultural Development Corporation v Richard Kipkoech Aiyabei, it held that a notice of appeal cannot be faulted absent a formal application to strike out under rules 83 and 84, which the 1st respondent never filed. The court granted a stay of execution of the trial judgment pending the appeal, with costs of the application in the appeal. Single judgment of the full bench; no separate opinions.

Key legal issues

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01

The test for relief under rule 5(2)(b) of the Court of Appeal Rules

Holding

An applicant must satisfy the twin limbs of arguability and nugatory aspect; both were satisfied here.

Reasoning

The court restated the settled principles from Stanley Kangethe Kinyanjui v Tony Ketter, finding the memorandum of appeal disclosed arguable grounds relating to transfer of the suit land contrary to special conditions of the lease and the effect of lack of a company resolution. On the nugatory limb, eviction and demolition of the structures would render a successful appeal useless, so both limbs were met.

p. 3
02

Whether an out-of-time notice of appeal can be faulted absent a rule 84 application to strike out

Holding

In the absence of a formal application to strike out the notice of appeal under rules 83 and 84, the 1st respondent's invitation to fault the notice of appeal was incompetent.

Reasoning

Although the notice of appeal was filed out of time (judgment delivered 24th January 2020, notice filed 28th April 2020), rule 84 requires a person affected by an appeal to apply to strike out the notice or appeal within 30 days of service. The 1st respondent filed no such application, and following Agricultural Development Corporation v Richard Kipkoech Aiyabei the court held that faulting a defective notice through submissions alone is not permitted.

p. 3
03

Whether the eviction of the applicants would render the intended appeal nugatory

Holding

Yes - if the eviction is carried out and structures on the suit land destroyed, a successful appeal would be rendered nugatory.

Reasoning

The 1st respondent had already applied to the trial court for police security to execute the decree by demolishing the structures on the suit land. The court agreed that once demolition occurred, the applicants would suffer irreparable loss and no successful appeal could restore the position, satisfying the nugatory limb.

p. 3

Legal principles established

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  • An application under rule 5(2)(b) requires the applicant to demonstrate that the appeal or intended appeal is arguable and that unless the orders sought are granted the appeal, if successful, shall be rendered nugatory.
  • A notice of appeal cannot be struck out on the ground of any default unless a formal application is made under rule 84 of the Court of Appeal Rules; an oral request or invitation through submissions is incompetent.

Court orders

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  1. 1.An order of stay of execution of the judgment in Mombasa ELC No. 265 of 2013 pending hearing and determination of the appeal
  2. 2.Costs of the application to be in the appeal

Authorities

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Legislation

  • Court of Appeal RulesRule 5(2)(b)
  • Court of Appeal RulesRule 75(2)
  • Court of Appeal RulesRule 83
  • Court of Appeal RulesRule 84

Cases cited (2)

  • Stanley Kangethe Kinyanjui v Tony Ketter & 5 others
    [2013] eKLR
  • Agricultural Development Corporation v Richard Kipkoech Aiyabei
    [2020] eKLR
On appeal from
Environment and Land Court, Mombasa
Mombasa ELC No. 265 of 2013
Jurisdiction invoked
Rule 5(2)(b) of the Court of Appeal Rules

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, "Ngai & 6 others v Sparkle Properties Limited & 2 others (Civil Application 69 of 2020) [2021] KECA 65 (KLR)", Case Analysis (2021). Mombasa Civil Appeal No. 42 of 2020. Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2021/65/eng@2021-10-08

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