Lesiolo Limited v Kenya Seed Company Limited (Civil Appeal 183 of 2017) [2022] KECA 40 (KLR)
The bottom line
#Kenya's Court of Appeal confirmed that claims for special damages fail unless backed by specific, documented proof—not just general assertions of loss.
What this practically means
#Executive summary
#Key legal issues
#Proof of special damages
The Court affirmed the award limited to the 921 defective bags at the proved unit price of Ksh.2,800 per bag, and rejected the unproven heads of claim
The Court applied the settled rule that special damages must be both pleaded and strictly proved. Although the appellant proved purchase of 4,000 bags and that 921 were taken back and replaced with bad seed, it adduced no evidence by a qualified person on the exact acreage lost, no documentation of replanting expenditure, and no surveyor's report. General assertions of loss were insufficient; the claim had to be proved to a cent.
General damages for breach of contract
General damages were properly refused because there was nothing special in the circumstances to warrant such an award
The Court endorsed the principle that general damages are not ordinarily awarded for breach of contract except where the defaulting party's conduct is oppressive, high-handed, outrageous, insolent or vindictive. The case involved the sale of defective wheat seed; the appellant led no evidence to bring the respondent's conduct within those exceptions, so the claim failed.
Duty of a first appellate court
The Court re-appraised the evidence as required on a first appeal, citing the classic Selle v Associated Motor Boat Company formulation
As a first appeal from the High Court's original jurisdiction, the Court was obliged under Rule 29 to reconsider, evaluate and draw its own conclusions from the evidence, bearing in mind it had neither seen nor heard the witnesses. On re-appraisal, the Court found the Judge's findings on the sale, the defective seed and the proved loss of 921 bags were supported by unrebutted evidence, including KEPHIS certificates showing germination far below the 85% standard.
Merit of the cross-appeal
The cross-appeal lacked merit because the appellant proved sale, payment and loss of the 921 bags on a balance of probabilities
The respondent argued that the claim was not proved and the award was unsupported. The Court found there was evidence of a bank transfer of Ksh.11,200,000, a proved unit price of Ksh.2,800, the respondent's failure to produce certification certificates, and KEPHIS results showing germination of 25% and 0% against a required 85% minimum, which the respondent had not rebutted. The award on the 921 bags therefore stood.
Legal principles established
#- Special damages must not only be pleaded but must also be specifically proved before they can be awarded
- General damages will not ordinarily be granted for breach of contract absent special circumstances such as oppressive, high-handed, outrageous, insolent or vindictive conduct
- In a first appeal, the Court of Appeal must re-appraise the evidence and draw its own inferences of fact, while making due allowance for not having seen or heard the witnesses
Court orders
#- 1.The appeal is dismissed
- 2.The cross-appeal is dismissed
- 3.Each party to meet its own costs of the appeal and cross-appeal
- 4.The appellant retains the costs awarded by the Judge in the judgment delivered on 12th October, 2017
- On appeal from
- High Court of Kenya at Nakuru
- Not stated in the judgment
- Jurisdiction invoked
- First appeal from the High Court exercising original jurisdiction, under the Court of Appeal Rules (Rule 29 requires re-appraisal of the evidence)
Key timeline
#Practical implications
#Frequently asked questions
#Later judgments citing this (2)
#Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.
- Rutere & 11 others v Reynolds Construction Company (NIG) Ltd (Environment & Land Case 28 of 2013) [2024] KEELC 5369 (KLR)[2024] KEELC 5369 (KLR)10 Jul 2024
- Kinyua (Suing on his behalf and as the legal representative of the Estate of his Late Brother Edward P Gitonga Nkari - Deceased) v Intex Construction Company Ltd[2023] KEELC 20398 (KLR)27 Sept 2023
Cite this brief
#Cite this brief
Caselaw, "Lesiolo Limited v Kenya Seed Company Limited (Civil Appeal 183 of 2017) [2022] KECA 40 (KLR)", Case Analysis (2022). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2022/40/eng@2022-02-04
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.