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ELCPartially AllowedMalindi Civil Suit (consolidated with HCCC No. 15 of 2013 (OS))· [2014] KEELC 232 (KLR)

Abdul Jalil Yafai v Farid Jalil Mohamed [2014] KEELC 232 (KLR)

High Court of Kenya
12 September 2014
4,959 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan court ruled that only the parties who signed a written agreement can change it, and ordered two family-owned plots sold with proceeds shared equally.

What this practically means

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Executive summary

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This was a consolidated first-instance suit before the High Court at Malindi between an uncle, Abdul Jalil Yafai, and his nephew, Farid Jalil Mohamed, over two Malindi plots, Kilifi/Jimba/992 and 374. The Plaintiff claimed he sent money from the UK to buy and develop the plots, that the Defendant fraudulently registered them jointly, and sought damages, repayment of half his UK loan (with automatic renunciation of the Defendant's interest on default), or alternatively a sale and equal sharing of proceeds. The Defendant, in the consolidated originating suit, sought a declaration of joint ownership and equal subdivision or sale. The court found the parties had an oral trust arrangement; the Plaintiff proved remitting Kshs 9,000,000, but neither party produced a valuation or proof of actual monetary contributions, and the circumstances of the 2001 joint registration were unknown. The court held that the advocate's unilateral amendment introducing plot 992 into the 18th December 2008 agreement was improper and inconsequential, that only signatory parties may amend a written agreement, and that courts cannot rewrite contracts or speculate on parties' intentions. The agreement was therefore enforced as signed, in respect of plot 374. The court ordered the Plaintiff to sell plot 374 and apply proceeds to liquidate his bank loan with any balance shared equally; a joint sale of plot 992 after valuation with proceeds shared equally; valuation and sale costs shared equally; and each party to bear his own costs. Neither party succeeded outright; no breach or fraud was proved.

Key legal issues

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01

Validity of the unilateral amendment to the agreement of 18th December 2008

Holding

The amendment introducing plot number 992 was improper and inconsequential

Reasoning

Although the advocate claimed the Defendant authorized the changes by phone, which the Defendant denied, the court held that only the parties who signed a written agreement can amend it. The amendments made in the Plaintiff's favour, even with alleged phone approval, could not alter the signed agreement since they were not assented to in the manner required for written contracts.

p. 6
02

Whether the court could infer from the agreement's terms that plot 992, being registered and developed, was the property intended for sale

Holding

No - the court cannot speculate on the parties' intention; the agreement as signed referred to plot 374

Reasoning

The court held that the word 'encumbered' has no fixed definition and an unregistered plot can be encumbered or jointly owned by arrangement. Absent evidence of what 'development' entailed, the court could not infer that the parties meant plot 992, and refused to rewrite the contract.

p. 7
03

Entitlement to the jointly registered property Kilifi/Jimba/992

Holding

Since both parties contributed and neither proved actual monetary contributions or a valuation, a just order was a sale and equal division of proceeds

Reasoning

The circumstances of the 2001 joint registration were unknown, but the Plaintiff proved remitting Kshs 9,000,000 and the Defendant showed he had invested time and resources. Neither party produced a valuation or proof of actual contributions, so equal sharing of sale proceeds was the just outcome, with the 2008 agreement on plot 374 enforced as signed.

p. 7

Legal principles established

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  • Changes to a written agreement can only be made by the parties who signed it, not by an agent unilaterally or by one party
  • Courts cannot re-write contracts for parties or speculate about the parties' intention

Court orders

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  1. 1.The Plaintiff, Abdul Jalil Yafai, to sell parcel of land number Kilifi/Jimba/374 and to utilize the proceeds in liquidating the loan facility owed to his bankers and any balance of the said proceeds to be shared equally between him and the Defendant
  2. 2.The Plaintiff and the Defendant to jointly sell land known as Kilifi Jimba/992 after conducting a valuation and the proceeds of the sale to be shared equally between themselves
  3. 3.The costs of valuing and selling of Kilifi Jimba/992 to be shared equally by both parties
  4. 4.Each party to bear his own costs
Jurisdiction invoked
Original civil jurisdiction of the High Court over land and contract disputes (consolidated suits)

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, "Abdul Jalil Yafai v Farid Jalil Mohamed [2014] KEELC 232 (KLR)", Case Analysis (2014). Malindi Civil Suit (consolidated with HCCC No. 15 of 2013 (OS)). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2014/232/eng@2014-09-12

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