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Court of AppealDismissedCourt of Appeal motion dated January 2, 2023 (arising from intended appeal against judgment in Eldoret ELC No. 71 of 2017)· [2023] KECA 1480 (KLR)

Sultan Hasham Lalji & 1 other v Julius Kipkosgei Chelugui & 1 other

Court of Appeal of Kenya
8 December 2023
1,718 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~7 min to read original · ~4 min brief

The bottom line

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Kenya's Court of Appeal refused to add six applicants as interested parties in a land appeal, confirming joinder is discretionary, not automatic.

What this practically means

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Executive summary

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This is a ruling of the Court of Appeal at Eldoret (Sichale, Ochieng and Achode, JJ.A) delivered on December 8, 2023, on a motion dated January 2, 2023 by six applicants seeking to be enjoined as interested parties in a pending appeal, together with leave to file pleadings and evidence. The appeal arises from a suit filed in the Environment and Land Court at Eldoret, ELC No. 71 of 2017, by Kipkering Arap Sitienei and Kipsondin Arap Kuto against the appellant. The applicants, who claimed to be duly elected directors and shareholders of the 1st respondent company representing over 246 persons occupying portions of the suit property, contended that the suit had been filed by persons who were neither directors nor shareholders of the company. The court applied the Supreme Court's joinder principles articulated in Attorney General v David Ndii (drawing on Trusted Society of Human Rights Alliance v Mumo Matemu and Muruatetu) and its own criteria in Hamisi Yawa v Tsangwa Ngala Chome. It held that the applicants were not parties before the High Court, that a Registrar of Companies SH-4 document annexed to their own motion showed the two plaintiffs were shareholders of the 1st respondent, and that their elevation from shareholders to directors was immaterial. The court also reasoned that if the suit truly lacked locus, the appeal would itself collapse, leaving nothing to join. The Supreme Court's decision in Communications Commission of Kenya v Royal Media Services, declining enjoinment of a party absent from both superior courts, was followed. The motion was dismissed in its entirety with no order as to costs.

Key legal issues

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01

Whether the applicants met the criteria for joinder as interested parties in the pending appeal

Holding

The application was dismissed: the applicants were not parties before the High Court, their claim of lack of locus of the originating plaintiffs was contradicted by the SH-4 Registrar of Companies document, and their change of status from shareholders to directors was immaterial to the appeal

Reasoning

The court applied the Supreme Court's principles in Attorney General v David Ndii (adopting Trusted Society of Human Rights Alliance v Mumo Matemu and Muruatetu) and its own principles in Hamisi Yawa. It found the applicants' personal interest not established on the facts: they admitted not being parties below, and the documentary evidence contradicted their assertion that the plaintiffs lacked standing to file the suit. If the suit were indeed a non-starter, the appeal would itself fall away and there would be no appeal to join.

p. 4
02

Whether the applicants' status as newly elected directors of the 1st respondent entitled them to be heard in the appeal

Holding

The mere fact that the applicants were shareholders when the suit was filed and had since become directors was 'neither here nor there' and did not warrant joinder

Reasoning

The court held that the applicants' change of status did not create a proximate interest in the appeal. A Registrar of Companies SH-4 document annexed to their own motion showed that Kipkering Arap Sitienei and Kipsondin Arap Kuto were shareholders of the 1st respondent, undermining the applicants' central premise. Further, the appellant argued that if locus was lacking, the suit and the appeal would both collapse, leaving no proceedings in which to be joined.

p. 4

Legal principles established

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  • Enjoinment as an interested party is not as of right but at the discretion of the court, requiring sufficient grounds including a clearly identifiable personal interest or stake, demonstrated prejudice from non-joinder, and a case or submissions not merely replicative of other parties' submissions
  • A party who was neither a party before the superior courts must demonstrate how the ends of justice would be better served by being enjoined in the appeal, failing which joinder will be refused

Court orders

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  1. 1.The applicants' motion dated January 2, 2023 is dismissed in its entirety
  2. 2.No order as to costs
On appeal from
High Court of Kenya at Eldoret (Environment and Land Court)
ELC No. 71 of 2017
Jurisdiction invoked
Rule 77(1) of the Court of Appeal Rules and Article 159(1)(d) of the Constitution of Kenya

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, "Sultan Hasham Lalji & 1 other v Julius Kipkosgei Chelugui & 1 other", Case Analysis (2023). Court of Appeal motion dated January 2, 2023 (arising from intended appeal against judgment in Eldoret ELC No. 71 of 2017). Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2023/1480/eng@2023-12-08

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