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Court of AppealDismissedCivil Appeal (referred to as the appellants' appeal from ELC judgment; appeal number not stated in the judgment)· [2023] KECA 1015 (KLR)

Kivindu & another v Musau & 4 others (Civil Appeal 233 of 2020) [2023] KECA 1015 (KLR)

Court of Appeal
28 July 2023
8,179 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~33 min to read original · ~4 min brief

The bottom line

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The Court of Appeal upheld an innocent purchaser's title to land, ruling that heirs claiming under a decades-old oral sale failed to prove it with direct evidence.

What this practically means

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Executive summary

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The appellants, widow and son of the late Pius Kivindu King'oo, appealed against the dismissal by the Environment and Land Court (Angote, J.) of their claim to LR No 8914/43 (formerly part of Ngelani Ranching Unity). They asserted that King'oo purchased the share of Musau Mwaniki in 1966 under an oral agreement, paid one cow and a final instalment of Kshs 500, took possession, and had his name entered in the shareholders' book, but that the share was later unprocedurally transferred to the 1st respondent, who sold to the 5th respondent. The Court of Appeal, in a unanimous first-appeal judgment delivered at Nairobi on 28 July 2023, framed five issues: existence of a sale agreement, ownership arising from possession, proprietary estoppel and constructive trust, lis pendens, and rightful ownership. It held that although oral land sale agreements made before the 2003 amendment of section 3(3) of the Law of Contract Act remain valid, no agreement was proved - all the appellants' evidence of the transaction was hearsay. King'oo's long occupation was that of a grazing licensee, evidenced by his vacating after a 1992 eviction notice and refusal to take a traditional oath. Proprietary estoppel and constructive trust were neither pleaded nor established, submissions being no substitute for pleadings. The doctrine of lis pendens could not defeat the 5th respondent's title because a prior ruling had exonerated that respondent and was never challenged. The 5th respondent was found to be an innocent purchaser for value without notice. The appeal was dismissed in its entirety with costs to the 1st, 2nd, 3rd and 5th respondents, affirming the decision below.

Key legal issues

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01

Existence and validity of the alleged oral sale agreement

Holding

Although an oral agreement for sale of land made before 2003 would be valid, no agreement was proved; the appellants' evidence was hearsay from witnesses who never witnessed the transaction

Reasoning

The court held that oral agreements for disposition of land pre-dating the 2003 amendment of section 3(3) of the Law of Contract Act, and supported by part performance under the proviso, were valid. However, on the evidence, no witness to the alleged transaction testified; all spoke of being told of it; the alleged witness of the final instalment never testified; and the evidence was therefore hearsay, useless and of no probative value.

p. 8
02

Nature of King'oo's possession - ownership or grazing licence

Holding

King'oo's long possession was that of a licensee grazing livestock, not an owner; his lukewarm response to the eviction notice and vacating the land confirmed this

Reasoning

Possession was advanced not as adverse possession but in support of an alleged sale. The court found the share book entries concerned grazing fees, King'oo refused a traditional oath to affirm payment, vacated after the 1992 eviction notice, was buried away from the land, and never protested at subdivision - all consistent with licence, not ownership.

p. 10
03

Proprietary estoppel and constructive trust

Holding

Neither doctrine was pleaded, and neither was established on the facts; submissions cannot substitute for pleadings

Reasoning

The appellants neither pleaded proprietary estoppel nor constructive trust in the trial court; estoppel cannot be founded through submissions. Even if considered, no promise or representation by Mwaniki induced King'oo, no purchase price was paid, and possession was that of a licensee, so no common intention or equity arose.

p. 12
04

Lis pendens and the 5th respondent's title

Holding

Though lis pendens applies to alienations during litigation, the issue had been settled by a ruling exonerating the 5th respondent, which was final; the 5th respondent's title stands

Reasoning

The 1st respondent was punished for contempt for the sale, but the trial court's ruling exonerated the 5th respondent, who was not a party when the sale occurred and lacked notice. No appeal, review or setting aside of that ruling was preferred, and the trial court did not nullify the transaction; parties cannot be punished twice for the same act.

p. 13

Legal principles established

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  • Section 3(3) of the Law of Contract Act does not apply to oral contracts for the sale of land concluded before its 2003 commencement; the proviso preserved oral contracts coupled with part performance
  • Submissions cannot take the place of pleadings; doctrines such as proprietary estoppel must be pleaded to be relied upon
  • A party may alienate or deal with suit property only subject to lis pendens, but where a prior ruling has already disposed of that issue and exonerated a transferee, that disposition binds absent appeal, review or setting aside
  • A constructive trust requires proof of a common intention actually reached between the parties and acted upon; it is inapplicable where no purchase price was paid and possession was as a licensee

Court orders

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  1. 1.Dismissal of the appeal in its entirety
  2. 2.Costs of the appeal awarded to the 1st, 2nd, 3rd and 5th respondents

Authorities

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Legislation

  • Law of Contract Actsection 3(3)
  • Law of Contract Actsection 3(7)
  • Evidence Actsection 116
  • Land Control Actreferred to generally

Cases cited (12)

  • Pankajkumar Shah v Abbas Lali
    [2019] eKLR
  • Isaack Minanga v Isaaya Theuri
    [2018] eKLR
  • Shadrack Kibor v Samuel Kipkoech
    [2009] eKLR
  • Kawaljeet Singh v Peter Wainaina
    [2016] eKLR
  • Alice Chemutai v Nickson Kipkurui
    [2015] eKLR
  • Moses Parantai and Peris Wanjiku Mukuru suing as the legal representative of the estate of Sospeter Makuru Mbeere (deceased) v Stephen Njoroge Macharia
    [2020] eKLR
  • Selle & Another v Associated Motor Boat Co. Ltd & others
    [1968] EA 123
  • Thorner v Major and others
    [2009] UKL 18 [2009] 1 WLR 776
  • Macharia Mwangi Maina & 87 Others v Davidson Mwangi Kagiri
    [2014] eKLR
  • William Kipsoi Sigei v Kipkoech Arusei & another
    [2019] eKLR
  • Yaxley v Gotts & another
    (2000) Ch 162
  • Bellamy v IDeG & J
    566
On appeal from
Environment and Land Court
Suit concerning Ngelani Ranching Unity, Athi River Plot No. 13A of Block 8914, now LR No 8914/43 (number not stated)
Jurisdiction invoked
First appeal to the Court of Appeal under its appellate jurisdiction (Court of Appeal jurisdiction over appeals from the Environment and Land Court; the judgment invokes its role on a first appeal as by way of retrial per Selle v Associated Motor Boat Co. Ltd)

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, "Kivindu & another v Musau & 4 others (Civil Appeal 233 of 2020) [2023] KECA 1015 (KLR)", Case Analysis (2023). Civil Appeal (referred to as the appellants' appeal from ELC judgment; appeal number not stated in the judgment). Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2023/1015/eng@2023-07-28

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