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Court of AppealStruck OutNot stated in the judgment· [2023] KECA 960 (KLR)

Sanpac Limited v Stanbic Bank Limited (Civil Appeal 320 of 2018) [2023] KECA 960 (KLR)

Court of Appeal
28 July 2023
1,795 words in judgment
View original judgmentRead on Kenya Law Watch case
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·~7 min to read original · ~4 min brief

The bottom line

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Sanpac's appeal was struck out because it never got court permission to appeal, proving that appeals without required leave are hopeless in Kenya.

What this practically means

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Executive summary

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The appellant, Sanpac Limited, appealed against a ruling of the High Court (Tuiyott J.) delivered on 13th July 2018 dismissing its motion under Order 17 Rule 2 of the Civil Procedure Rules seeking reinstatement of its suit against Stanbic Kenya Limited, which had been dismissed for want of prosecution on 31st October 2014. The appellant advanced seven grounds faulting the Judge for failing to appreciate its efforts in prosecuting the case, the part-heard status of the suit, the transfer of the trial Judge, and the non-service of the notice to show cause. The respondent opposed the appeal, contending that the appeal was incompetent because the appellant had not obtained leave to appeal as required under Order 43 Rule 2, Order 17 not being among the orders appealable as of right. The Court of Appeal addressed the jurisdictional question first. It held that under section 75(1) of the Civil Procedure Act read with Order 43 Rule 1, an order arising from Order 17 Rule 2 is appealable only with leave; the appellant neither obtained nor demonstrated leave. Relying on its decisions in Kakuta Maimai Hamisi and Peter Nyaga Muvake, the Court affirmed that the right of appeal goes to jurisdiction, that leave is a sine qua non to a valid notice of appeal, and that Article 159(2)(d) cannot cure the absence of statutory conferment of a right of appeal. The appeal was therefore incompetent and was struck out with costs. The Court never reached the merits of the exercise of the High Court's discretion. The judgment binds lower courts on the leave requirement for appeals from Order 17 Rule 2 orders.

Key legal issues

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01

Whether an appeal lies against an order under Order 17 Rule 2 without leave

Holding

Order 17 is not among the orders appealable as of right under section 75(1) of the Civil Procedure Act read with Order 43 Rule 1; leave was required and, not having been obtained, the appeal was incompetent.

Reasoning

The Court examined section 75(1) of the Civil Procedure Act together with Order 43 Rule 1, which enumerate the orders and rules from which an appeal lies as of right. Order 17 is not listed, so any decision arising from Order 17 is appealable only with leave. The appellant did not demonstrate that it obtained leave; indeed it impliedly admitted the contrary by urging that its fundamental right to be heard should defeat the leave requirement. Following its own precedents, the Court held that the right of appeal goes to jurisdiction and cannot be justified under Article 159(2)(d).

p. 3
02

Consequences of failure to obtain leave

Holding

Leave is a sine qua non to lodging a notice of appeal; without it the appeal is incompetent and the Court lacks jurisdiction to entertain it.

Reasoning

Relying on Kakuta Maimai Hamisi and Peter Nyaga Muvake, the Court affirmed that absence of statutory conferment of a right of appeal is a jurisdictional defect, not a procedural technicality curable by Article 159(2)(d). Without leave there can be no valid notice of appeal, and without a valid notice of appeal the Court's jurisdiction is not properly invoked. The exercise of discretion by the High Court in dismissing the reinstatement motion was therefore never reached.

p. 4

Legal principles established

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  • An order made under Order 17 Rule 2 of the Civil Procedure Rules is appealable only with leave of court; a right of appeal goes to jurisdiction and cannot be cured by Article 159(2)(d) of the Constitution; without leave there is no valid notice of appeal and the Court of Appeal has no jurisdiction.

Court orders

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  1. 1.The appeal is struck out with costs

Authorities

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Legislation

  • Civil Procedure RulesOrder 17 Rule 2
  • Civil Procedure RulesOrder 43 Rule 1
  • Civil Procedure RulesOrder 43 Rule 2
  • Civil Procedure RulesOrder 42
  • Civil Procedure ActSection 75(1)
  • Constitution of KenyaArticle 159(2)(d)

Cases cited (4)

  • D. Chandulal K. Vora & Co. Ltd. vs Kenya Revenue Authority
    [2017] eKLR
  • Rayleigh W. Wanyama vs Lorna Mukwana Wanyama & 3 Others
    [2020] eKLR
  • Peter Nyaga Muvake vs Joseph Mutunga
    [2015] eKLR
  • Kakuta Maimai Hamisi vs Peris Pesi Tobiko & 2 Others
    [2013] eKLR
On appeal from
High Court
Not stated in the judgment
Jurisdiction invoked
Appeal from the High Court to the Court of Appeal under the Civil Procedure Act, section 75(1), as read with Order 43 of the Civil Procedure Rules; the Court found no competence without leave.

Key timeline

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Practical implications

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Frequently asked questions

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Later judgments citing this (2)

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Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

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Cite this brief

Caselaw, "Sanpac Limited v Stanbic Bank Limited (Civil Appeal 320 of 2018) [2023] KECA 960 (KLR)", Case Analysis (2023). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2023/960/eng@2023-07-28

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