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Court of AppealDismissedCivil Application No. NAI of 2024 (undated in judgment; arising from Nairobi ELC Case No. 1593 of 2016)· [2024] KECA 1189 (KLR)

Geoffrey Mungai Thiongo v Elsie Ridge Limited & 4 others

Court of Appeal
20 September 2024
712 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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The Court of Appeal refused to pause a land case the applicant had lost, because refundable costs meant winning the appeal later would still fix everything.

What this practically means

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Executive summary

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This was a single-judge-panel application (a coram of three Judges of Appeal: S. Gatembu Kairu, S. ole Kantai and M. Gachoka) under Rule 5(2)(b) of the Court of Appeal Rules seeking a stay of further proceedings in Nairobi ELC Case No. 1593 of 2016 pending the hearing and determination of an appeal against a ruling of the Environment and Land Court (Mogeni, J.) delivered on 14th March 2023, in which the applicant's suit was struck out with costs for want of jurisdiction after the court upheld preliminary objections grounded on statutory alternative dispute resolution mechanisms and the doctrine of exhaustion. The applicant argued the appeal was arguable and that refusal of stay would render it nugatory, citing a claim for taxed costs of Kshs. 12,761,803.77 by the 2nd respondent. The 2nd and 5th respondents opposed, contending that the order struck out was a negative order incapable of stay and that costs are refundable. Applying the principles in Stanley Kangethe Kinyanjui v Tony Ketter, the court found the appeal arguable, but held the nugatory test unmet: the ELC proceedings were at an end, costs had been taxed, and there was no indication that costs could not be refunded on success. The application was dismissed with costs to the 2nd and 5th respondents. The decision below was not disturbed, as only the interim application was before the court.

Key legal issues

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01

Whether the intended appeal is arguable

Holding

The appeal is arguable because the applicant contends the judge erred in failing to consider that the issues raised could not be effectively resolved through alternative mechanisms.

Reasoning

Applying the established principles in Stanley Kangethe Kinyanjui v Tony Ketter, the court held that an arguable appeal is not one that must necessarily succeed. The contention that the judge erred in upholding preliminary objections on exhaustion despite the claim that alternative mechanisms could not effectively resolve the issues was sufficient to show the appeal was not frivolous.

p. 2
02

Whether the appeal would be rendered nugatory if stay is not granted

Holding

The nugatory test was not satisfied because the ELC proceedings were at an end, costs had been taxed, and costs are refundable if the appeal succeeds.

Reasoning

The court noted that the proceedings before the ELC were at an end following the striking out of the suit, costs had already been taxed, and the applicant had recourse by way of a reference if aggrieved by taxation. Since the order appealed from was a negative order and costs could be refunded upon success, refusing stay would not render the appeal nugatory.

p. 2

Legal principles established

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  • An arguable appeal need not be one that will necessarily succeed; it suffices that it is not frivolous
  • A negative order, such as an order striking out a suit, is generally not capable of stay where the successful party can refund costs if the appeal succeeds

Court orders

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  1. 1.The application dated 8th February 2024 is dismissed with costs to the 2nd and 5th respondents
On appeal from
Environment and Land Court
Nairobi ELC Case No. 1593 of 2016
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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Later judgments citing this (1)

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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, "Geoffrey Mungai Thiongo v Elsie Ridge Limited & 4 others", Case Analysis (2024). Civil Application No. NAI of 2024 (undated in judgment; arising from Nairobi ELC Case No. 1593 of 2016). Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2024/1189/eng@2024-09-20

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