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ELCPartially AllowedELC Case No. 640 of 2017 (Formerly Machakos HCCC No. 126 of 2010)· [2018] KEELC 4655 (KLR)

David Ole Sankori v Meliare Mpata [2018] KEELC 4655 (KLR)

Environment and Land Court
23 January 2018
4,305 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~17 min to read original · ~4 min brief

The bottom line

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An oral deal to buy 100 acres in Kajiado failed because it wasn't written or approved, so the buyer got a refund instead of the land.

What this practically means

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Executive summary

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The Plaintiff sued for specific performance of an alleged 1996 oral agreement for the sale of 100 acres out of land parcel KAJIADO/SOUTH KAPUTIEI/730, or alternatively a refund of Kshs. 1,040,000, plus Kshs. 1,500,000 for constructing a dam, costs and interest. The Defendant admitted the oral sale at Kshs. 8,000 per acre but asserted only cattle worth Kshs. 156,000 and a hospital bill of Kshs. 187,300 were paid, leaving a balance of Kshs. 500,000; he counterclaimed for eviction, mesne profits and compensation for use and occupation. The court framed five issues and held the oral agreement void under section 3(3) of the Law of Contract Act for want of writing and under section 6(1)(a) of the Land Control Act for want of land control board consent. Specific performance was therefore refused, applying Gurdev Singh Birdi v Abubakar Madhbuti. On the evidence, including the warrant of attachment in Nairobi CMCCC No. 7961 of 2000, the court found the Plaintiff paid Kshs. 810,000 and awarded a nominal Kshs. 800,000 (not the claimed 1,500,000) for the dam. The Defendant's claim for compensation was rejected because he took no eviction steps for some 20 years and enjoyed the dam. Mesne profits would accrue only if the Plaintiff failed to vacate after refund. The claim partially succeeded: refund of Kshs. 810,000 and Kshs. 800,000 with interest from 1996, conditional vacation, and costs to the Plaintiff.

Key legal issues

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01

Validity of the oral sale agreement

Holding

The oral agreement for sale of 100 acres was void for non-compliance with section 3(3) of the Law of Contract Act and for want of land control board consent under section 6(1)(a) of the Land Control Act

Reasoning

No written agreement was produced. Both parties acknowledged cows were paid as part of the purchase price but disputed the amounts. Section 3(3) requires a written, signed and attested contract for any disposition of an interest in land, and section 6(1)(a) of the Land Control Act voids dealings in agricultural land within a land control area without board consent. Neither requirement was met.

p. 5
02

Specific performance

Holding

Specific performance was refused because the underlying transaction was void; the Plaintiff was entitled only to a refund of the purchase price paid and the cost of development

Reasoning

Applying Gurdev Singh Birdi v Abubakar Madhbuti, the court noted the equitable remedy of specific performance requires a valid contract. Since the agreement was not in writing and no land control board consent was obtained within six months, the transaction was void and incapable of enforcement; the Plaintiff's remedy was restitution of the purchase price of Kshs. 810,000 and development costs.

p. 6
03

Mesne profits and compensation for use and occupation

Holding

The Defendant was not entitled to compensation for use and occupation; mesne profits would accrue only after refund to the Plaintiff and his failure to vacate

Reasoning

Relying on Rajan Shah v Bipin P. Shah, mesne profits require wrongful occupation. The Defendant took no steps to evict the Plaintiff from 1996 to 2012, watched him develop the land, used the dam and never proved loss; the occupation was with consent. Mesne profits would only apply once the Defendant refunds the Plaintiff and the Plaintiff fails to vacate.

p. 6
04

Vacant possession

Holding

The Plaintiff was ordered to vacate the suit land upon refund of the monies paid and compensation for developments, since the contract was void

Reasoning

Although the contract was void, the court found the Defendant was taking advantage of the lack of a written contract to unjustly enrich himself. Equity demanded the Plaintiff vacate only upon full refund of the purchase price, the cost of the dam and interest, balancing the voidness of the contract against restitution.

05

Limitation of actions defence

Holding

The limitation defence under section 7 of the Limitation of Actions Act was rejected because the claim was for specific performance of an agreement, not adverse possession

Reasoning

Counsel for the Defendant argued the claim was time-barred. The court distinguished the claim from adverse possession, holding the claim was founded on the 1996 agreement and possession taken with the Defendant's permission, so limitation did not bar it.

p. 6

Legal principles established

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  • A contract for the disposition of an interest in land must be in writing, signed by all parties and attested by a witness; and any dealing in agricultural land within a land control area without land control board consent is void
  • Specific performance will not be granted of a void land contract; the party who paid is entitled only to a refund of the purchase price and the cost of development
  • Mesne profits are payable only once occupation becomes wrongful, i.e. after the occupier's right to occupy has been determined and he becomes a trespasser

Court orders

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  1. 1.The Defendant do refund to the Plaintiff Kshs. 810,000.00
  2. 2.The Defendant do refund to the Plaintiff Kshs. 800,000 being the costs of constructing a dam
  3. 3.The amounts stated in (a) above to attract interest from 1996 to date at court rates
  4. 4.Upon refund of the amounts indicated in (a), (b) and (c) above, the Plaintiff to immediately vacate the suit land, failure of which the Defendant will be entitled to mesne profits
  5. 5.The costs of the suit is awarded to the Plaintiff

Authorities

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Legislation

  • Law of Contract ActSection 3(3)
  • Land Control ActSection 6(1)(a)
  • Limitation of Actions ActSection 7 (Chapter 22)

Cases cited (2)

  • Gurdev Singh Birdi & Anor -vs- Abubakar Madhbuti
    C.A. No.165 of 1996
  • Rajan Shah T/A Rajan S. Shah & Partners v Bipin P. Shah
    [2016] eKLR
Jurisdiction invoked
Original jurisdiction of the Environment and Land Court over land disputes

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, "David Ole Sankori v Meliare Mpata [2018] KEELC 4655 (KLR)", Case Analysis (2018). ELC Case No. 640 of 2017 (Formerly Machakos HCCC No. 126 of 2010). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2018/4655/eng@2018-01-23

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