Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELCDismissedE.L.C. Appeal No. 13 of 2019· [2019] KEELC 208 (KLR)

Julius Njue Mukangu v Augustino Kinyua Njiru & another [2019] KEELC 208 (KLR)

Environment and Land Court
28 November 2019
3,262 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~13 min to read original · ~4 min brief

The bottom line

#

A land buyer whose deal failed for lack of consent can still sue for a refund in Kenya, even if the sale agreement was unsigned properly.

What this practically means

#

Executive summary

#
This was a first appeal to the Environment and Land Court at Embu against a ruling of Hon. R.O. Oigara (PM) delivered on 16 December 2015 in Embu CMCC No. 28 of 2015, whereby the trial court overruled the Appellant's preliminary objection seeking to strike out the Respondent's suit for a refund of Ksh. 120,000 being the purchase price of ½ acre out of Title No. Gaturi/Nembure/4924, plus interest, after the sale fell through for lack of Land Control Board consent. The Appellant advanced twelve grounds, distilled by this court into three issues: compliance with section 3(3) of the Law of Contract Act, competency under sections 6(1) and 8(1) of the Land Control Act, and challengeability of ex parte leave to file suit out of time under the Limitation of Actions Act. The court first held that the appeal stood automatically struck out for the Appellant's unexplained default in filing the record of appeal within the time ordered on 10 July 2019. In the alternative, it considered the merits and found no error: the suit was for a refund of the purchase price, a different cause of action from enforcement of the unattested agreement; a purchaser under a void transaction has a statutory right under section 7 of the Land Control Act to recover the purchase price as a debt; and ex parte leave to file out of time can only be challenged at trial, not by preliminary objection. The appeal was dismissed in its entirety with costs to the Respondent.

Key legal issues

#
01

Effect of failure to file record of appeal within the ordered timeline

Holding

The appeal stood struck out automatically by the default clause of 10 July 2019; there was no competent appeal before the court

Reasoning

The court found that the Appellant defaulted in filing the record of appeal within the stipulated time or at all. The certificate of delay did not excuse the default: certified proceedings were ready as far back as 28 December 2018 but were only collected on 30 September 2019, and no explanation was given for the further delay after collection. The court held the Appellant had not been diligent in prosecuting the appeal.

p. 2
02

Whether section 3(3) of the Law of Contract Act rendered the Respondent's suit incompetent

Holding

No - the suit was for a refund of the purchase price, not for enforcement of the unattested sale agreement

Reasoning

Although the sale agreement was not attested as required by section 3(3), the cause of action pleaded was recovery of the purchase price after total failure of consideration following the transaction falling through for lack of Land Control Board consent. That is a different cause of action from enforcement of the agreement, so the formalities bar did not apply.

p. 3
03

Whether the suit was incompetent under sections 6(1) and 8(1) of the Land Control Act

Holding

No - the void agreement did not defeat the statutory right to recover the purchase price as a debt under section 7 of the Land Control Act

Reasoning

It was common ground that the agreement became void for want of Land Control Board consent. However, the Court of Appeal in Ole Tukai recognized the purchaser's right in a void transaction to recover the purchase price as a debt, a right specifically provided for in section 7 of the Land Control Act. The suit was for a refund, not specific performance, and was thus permitted by law.

p. 4
04

Whether ex parte leave to file suit out of time could be challenged by preliminary objection

Holding

No - such leave may only be challenged at the trial of the action

Reasoning

Relying on Mary Wambui Kabugu v Kenya Bus Services and the Oruta decision, the court held that a defendant who learns of the extension order upon being served cannot apply to set it aside before trial; the challenge must be at trial on facts or arguments where facts are not in dispute. A preliminary objection to such leave would be contrary to the policy and intention of the Limitation of Actions Act.

p. 4

Legal principles established

#
  • A suit for refund of the purchase price under a void land sale agreement is a different cause of action from enforcement of the agreement and is not barred by section 3(3) of the Law of Contract Act
  • A purchaser in a void land transaction has a statutory right to recover the purchase price as a debt under section 7 of the Land Control Act
  • Ex parte leave to file suit out of time under the Limitation of Actions Act cannot be challenged by way of preliminary objection; it may only be challenged at the trial
  • An appeal stands struck out automatically where the appellant defaults in filing the record of appeal within the court-ordered timeline

Court orders

#
  1. 1.The appeal is dismissed in its entirety
  2. 2.Costs of the appeal awarded to the Respondent

Authorities

#

Legislation

  • Law of Contract Act (Cap. 23)section 3(3), including 3(3)(b); also section 3(3) proviso
  • Land Control Act (Cap. 302)sections 6(1), 7, 8(1), 22
  • Limitation of Actions Act (Cap. 22)sections 4(1)(a), 4(2), 27, 28
  • Auctioneers Act (Cap. 526)referenced in the proviso to section 3(3) quoted
  • Constitution of KenyaArticles 25, 27(1), 47(1), 48 and 50(1)
  • English Limitation Act 1963sections 1 and 2 (as discussed in the Oruta case)

Cases cited (10)

  • Jane Catherine K. Karani V Daniel Mureithi Wachira
    [2014] eKLR
  • Charles Mwirigi Miriti V Thananga Tea Growers Sacco Ltd & Another
    [2014] eKLR
  • David Sironga Ole Tukai V Francis arap Muge & 2 Others
    [2014] eKLR
  • Koyumkei Multipurpose Cooperative Society Limited and Others V Rael Chepngetich Koech
    [2014] eKLR
  • C-Hear (Kenya) Limited V Liquid Telecommunications Kenya Limited
    [2014] eKLR
  • Rosemary Wanjiru Kungu V Elijah Macharia Githinji & Another
    [2014] eKLR
  • Willy Kimutai Kitilit Vs Michael Kibet
    Eldoret Civil Appeal No. 51 of 2015 [2018] eKLR
  • Mary Wambui Kabugu V Kenya Bus Services
    [1997] eKLR
  • Yunes K. Oruta & Another v. Samwel Mose Nyamato
    Civil Appeal No. 96 of 1984 (unreported)
  • Cozen V. North Devon Hospital Management Committee & Another
    (1966) 2 All E.R. 799
On appeal from
Chief Magistrate's Court at Embu
Embu CMCC No. 28 of 2015
Jurisdiction invoked
First appellate jurisdiction of the Environment and Land Court over appeals from subordinate courts (statutory appeal against the ruling and order of 16.12.2015 in Embu CMCC No. 28 of 2015)

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Julius Njue Mukangu v Augustino Kinyua Njiru & another [2019] KEELC 208 (KLR)", Case Analysis (2019). E.L.C. Appeal No. 13 of 2019. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2019/208/eng@2019-11-28

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