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Court of AppealPartially AllowedCivil Appeal (ruling dated 5th December 2024 in High Court suit; memorandum of appeal dated 11th December 2024)· [2025] KECA 1257 (KLR)

Pumwani Riyadha Mosque Committee & 1 other v Gikomba Business Centre Limited

Court of Appeal
11 July 2025
6,485 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~26 min to read original · ~4 min brief

The bottom line

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Kenya's Court of Appeal struck out a lease dispute filed in the High Court, ruling it belonged in the Environment and Land Court, and confirmed arbitration rights are waived if not invoked promptly.

What this practically means

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Executive summary

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The Court of Appeal (M'Inoti, Achode and Korir, JJ.A) allowed this appeal in part against a ruling of Mabeya J. delivered on 5th December 2024. The ruling had dismissed the appellants' application to lift conservatory orders and to strike out the respondent's plaint over a 35-year lease of Land Reference No. 209/19680. The Court framed three issues: material non-disclosure, the effect of the arbitration clause, and the jurisdiction of the High Court. On non-disclosure, it held the BPRT and Magistrate's Court matters had been disclosed in a replying affidavit and were immaterial. On arbitration, it held that an arbitration clause does not oust the High Court's jurisdiction; a party must promptly apply under section 6(1) of the Arbitration Act at entry of appearance, failing which the right is waived, and the Dock Workers Union decision was distinguished. On jurisdiction, although the High Court correctly applied the predominant test and no stare decisis from Republic v Chengo was breached, the Court held on the merits that the dispute, concerning occupation and use of leased land for economic activities, fell squarely within the exclusive jurisdiction of the Environment and Land Court under Article 162(2)(b) of the Constitution and section 13(2)(a) of the Environment and Land Court Act. The Court set aside the ruling, struck out the plaint, and awarded costs to the appellants, while rejecting the abuse-of-process and non-disclosure grounds.

Key legal issues

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01

Material non-disclosure as a ground for striking out a suit

Holding

The ground fails where the allegedly undisclosed matters were disclosed in a replying affidavit and were not material because one suit had been withdrawn and the other stayed

Reasoning

The respondent's director's affidavit of 28th October 2024 disclosed the Magistrate's Court suit and its withdrawal, and averred that the BPRT proceedings had been stayed; these averments were unchallenged. Even if not disclosed in the plaint, the matters were not material to the suit before the High Court, so the ground fails.

p. 5
02

Effect of an arbitration clause on the High Court's jurisdiction and on abuse-of-process claims

Holding

An arbitration clause does not oust the High Court's jurisdiction; the statutory route under section 6(1) of the Arbitration Act must be invoked at entry of appearance, and failure to do so amounts to waiver

Reasoning

Relying on Niazsons, Corporate Insurance and Adrec, the Court held the right to a stay and reference to arbitration arises only on a prompt application under section 6(1) made at entry of appearance, before taking further steps such as filing a defence. The appellants actively participated without such an application, waiving the right. Dock Workers Union was distinguished because section 6(1) never featured there. Hence the suit was not abusive.

p. 7
03

Competing jurisdiction of the High Court and the Environment and Land Court over a commercial lease dispute

Holding

The dispute, though commercial in character, concerned the use and occupation of land under a 35-year lease and fell within the exclusive jurisdiction of the Environment and Land Court; the High Court lacked jurisdiction

Reasoning

Applying the predominant test, the Court acknowledged the dispute was contractual but held that the lease granted the respondent occupation and use of the suit property for economic activities, including putting up structures. Land use means activities practised on land to yield economic or social benefits. Unlike the chargee/chargeor relationship in Co-operative Bank v Njuguna, here the land was genuinely being used as contemplated by Article 162(2)(b), so the ELC, not the High Court, had jurisdiction.

p. 12
04

Alleged breach of stare decisis by the learned Judge

Holding

Republic v Chengo did not lay down any binding principle on the specific ELC/High Court jurisdictional question, so the Judge committed no error in applying the predominant test

Reasoning

Co-operative Bank v Njuguna was decided later than Chengo and specifically addressed ELC versus High Court jurisdiction, whereas Chengo generally addressed judges sitting in courts to which they were not appointed in a criminal appeal. There was therefore no stare decisis from Chengo binding the Judge on the question before him, and the dominant-issue principle is recognized.

p. 10

Legal principles established

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  • A party who wishes to rely on an arbitration clause after suit is filed must, at the time of entering appearance or otherwise acknowledging the claim, apply under section 6(1) of the Arbitration Act for a stay and reference to arbitration; the right is lost by taking further steps such as filing a defence, and mere existence of an arbitration clause does not oust the court's jurisdiction
  • The 'predominant test'/'dominant issue' principle is a recognized tool for resolving competing jurisdiction between the High Court and specialized courts under Article 162(2)
  • Land use means the activities practised on land to yield economic or social benefits; a lease of land for economic activities and occupation engages the 'use of land' jurisdiction of the Environment and Land Court under Article 162(2)(b) and section 13(2)(a) of the Environment and Land Court Act

Court orders

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  1. 1.The ruling dated 5th December 2024 by Mabeya J. is set aside on the ground that the High Court had no jurisdiction, the dispute falling within the jurisdiction of the Environment and Land Court
  2. 2.The respondent's plaint dated 8th October 2024 is struck out
  3. 3.Costs of the suit to the appellants
On appeal from
High Court
null (ruling of 5th December 2024; plaint dated 8th October 2024)
Jurisdiction invoked
First appeal to the Court of Appeal under the Constitution and Court of Appeal statute; the underlying dispute turns on Article 162(2)(b) of the Constitution and section 13 of the Environment and Land Court Act

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, "Pumwani Riyadha Mosque Committee & 1 other v Gikomba Business Centre Limited", Case Analysis (2025). Civil Appeal (ruling dated 5th December 2024 in High Court suit; memorandum of appeal dated 11th December 2024). Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2025/1257/eng@2025-07-11

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