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ELCAllowedNot stated in the ruling· [2019] KEELC 167 (KLR)

Kenya Aids Ngo Consortium & another v Andrew Ouko & another [2019] KEELC 167 (KLR)

High Court of Kenya (Environment and Land jurisdiction, as constituted for the suit property dispute)
28 November 2019
1,832 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 reinstated a land suit dismissed without notice, confirming that dismissal without service of a Notice to Show Cause is irregular.

What this practically means

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Executive summary

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The plaintiffs sued on 19th April 2007 for a permanent injunction and eviction of the defendants from L.R No. 11877 - Nairobi, which they said they purchased at Kshs. 16,200,000 at a public auction by Kenya Commercial Bank Ltd on 19th January 2006. The 1st defendant denied the validity of the sale, alleging no statutory notice to the estate of Jason Atinda Ouko, deceased, and an undervalue sale. An application by the plaintiffs for vacant possession was dismissed by Onyancha J. on 11th February 2010 and an appeal (Civil Appeal No. 168 of 2010) was lodged. On 28th May 2015 the suit was dismissed for want of prosecution under Order 17 rule 2(1) of the Civil Procedure Rules by Mutungi J., but the Notice to Show Cause was served only on the 1st defendant's advocates and not on the 1st plaintiff's advocates, Momanyi & Associates. The 1st plaintiff applied by Notice of Motion dated 18th July 2016 to set aside that dismissal and reinstate the suit, explaining that it only learned of the dismissal on 30th June 2016 when the appeal came up for hearing. The 1st defendant opposed, citing over five years of dormancy, inordinate delay, and the existence of HCCC No. 558 of 2004. S. Okong'o J. held that without service of the Notice to Show Cause on the plaintiffs the dismissal was erroneous and irregular, entitling them as of right to its setting aside. Although the plaintiffs were guilty of inordinate delay and the pendency of an interlocutory appeal did not stay the suit, mistakes of counsel should be cured by costs rather than deprive a party of a hearing, and no incurable prejudice to the 1st defendant was shown. The application was allowed in terms of prayers 2 and 3, reinstating the suit, with costs of the application to the 1st defendant.

Key legal issues

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01

Regularity of the dismissal for want of prosecution

Holding

The dismissal was exercised erroneously and irregularly because the Notice to Show Cause was never served on the plaintiffs' advocates; the plaintiffs were entitled as of right to have it set aside.

Reasoning

Order 17 rule 2(1) permits dismissal only after parties are served with notice to show cause and fail to appear or show cause. Here the notice intended for the 1st plaintiff's advocates was returned marked 'The adv. has moved' and Momanyi & Associates were not served at all. Had the court been alerted to the non-service it would not have dismissed the suit; accordingly the order of 28th May 2015 fell to be set aside.

p. 2
02

Inordinate delay by the plaintiffs

Holding

The plaintiffs were guilty of inordinate delay, and the pendency of their interlocutory appeal was not a sufficient reason for failing to prosecute the suit, but the delay did not defeat reinstatement.

Reasoning

The court agreed with the 1st defendant that the plaintiffs were guilty of inordinate delay and that filing an appeal against Onyancha J's interlocutory decision did not stay the suit. However, applying the broad equity approach, the blunder of the plaintiffs' advocates did not warrant the penalty of losing the right to a hearing, since any prejudice to the 1st defendant was curable by costs.

p. 2
03

Prejudice to the 1st defendant

Holding

The 1st defendant would not suffer prejudice that could not be compensated by costs.

Reasoning

The court noted the nature of the dispute and was inclined to give the 1st plaintiff a chance to prosecute its suit even if a Notice to Show Cause had been served. The alleged existence of another suit between the parties (HCCC No. 558 of 2004) was raised by the defendant, but the court was not persuaded that reinstatement would cause irreparable prejudice.

p. 2

Legal principles established

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  • The power to dismiss a suit under Order 17 rule 2(1) is exercisable only after service of a Notice to Show Cause on the parties; dismissal without such service is irregular and the order is liable to be set aside as of right.
  • Filing an interlocutory appeal does not operate as a stay of proceedings in the lower suit; a party wishing to hold a suit in abeyance pending appeal must seek an order of stay of proceedings.
  • Mistakes by counsel should not ordinarily result in a party losing the right to be heard on the merits; errors or defaults can be cured by payment of costs absent fraud or intention to overreach.

Court orders

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  1. 1.The Notice of Motion dated 18th July 2016 is allowed in terms of prayers 2 and 3 thereof
  2. 2.The order dismissing the suit made on 28th May 2015 is set aside and the suit is reinstated for hearing inter-partes
  3. 3.The 1st defendant shall have the costs of the application

Authorities

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Legislation

  • Civil Procedure RulesOrder 17 rule 2(1)

Cases cited (2)

  • Philip Chemwolo & another v Augustine Kubede
    [1982-88] KAR 1033
  • Nchapi Leiyagu v I.E.B.C & 2 others
    Civil Appeal No. 18 of 2013
Jurisdiction invoked
Inherent and discretionary power of the court to set aside an ex parte order of dismissal for want of prosecution under Order 17 rule 2(1) of the Civil Procedure Rules

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, "Kenya Aids Ngo Consortium & another v Andrew Ouko & another [2019] KEELC 167 (KLR)", Case Analysis (2019). Not stated in the ruling. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2019/167/eng@2019-11-28

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