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ELCAllowedNot stated in judgment (Mombasa Environment and Land Court suit)· [2019] KEELC 241 (KLR)

Abdarahman Aden v Nyali Intergrated Academy Ltd [2019] KEELC 241 (KLR)

Environment and Land Court of Kenya
6 November 2019
3,373 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

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A Kenyan court struck out a tenant's defence and ordered vacant possession because a valid six months' termination notice left nothing worth trying.

What this practically means

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Executive summary

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The plaintiff landlord applied by Notice of Motion dated 26 November 2018 to strike out the defendant's defence and obtain judgment in terms of the plaint, alternatively judgment for vacant possession, on premises LR. 9288 SEC 1 MN and 9289 SEC 1 MN, Mombasa, leased to the defendant for ten years from 1 June 2014 for use as a school. The plaintiff contended that a termination notice dated 18 January 2018 was served by registered post in accordance with Section 4 of Cap 301 and clause 10 of the lease (six months' notice), that the defendant filed no reference with the Tribunal, and that post-notice payments were received only as mesne profits. The defendant opposed, arguing the tenancy was not a controlled tenancy under Cap 301 (being a school and a written tenancy exceeding five years), that the notice was irregular, that it had invested substantially in classrooms and facilities, and that post-notice payments were rent, not mesne profits. C.K. Yano J applied the settled principles on striking out pleadings from D.T. Dobie v Muchina and Mohamed Hatimy v Lameck Oluoch, holding that the overriding test is whether a triable issue exists. The court found the tenancy duly terminated: if outside Cap 301, the six months' notice under the lease sufficed and the form of the notice caused no prejudice; if within the Act, the defendant's failure to file a reference rendered Section 10 effective. Improvements could not defeat the covenant to yield up possession. The defence was found frivolous, was struck out, and judgment was entered in terms of the plaint, with costs of the application to the plaintiff.

Key legal issues

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01

Whether the defence to the claim for vacant possession raised triable issues

Holding

The defence was frivolous; the tenancy had been duly terminated by notice served by registered post in accordance with the lease, and judgment in terms of the plaint was entered

Reasoning

The court reviewed the lease dated 10 June 2014 for a ten-year term. Clause 10 allowed either party to terminate on six months' notice or rent in lieu. The notice dated 18 January 2018 was sent by registered post to the address stated in the lease. Whether the tenancy was controlled under Cap 301 or not, the notice was effective: if outside the Act, the six months' notice sufficed; if within the Act, the defendant never filed a reference as required by Section 6. Improvements to the premises could not override the covenant to yield up possession.

p. 3
02

Applicable principles for striking out pleadings

Holding

The power to strike out is discretionary, exercised sparingly and only in the clearest of cases, without embarking on the merits; the test is whether a bona fide triable issue exists

Reasoning

The court adopted the settled principles in D.T. Dobie & Company Kenya Ltd v Muchina and Mohamed Hatimy v Lameck Oluoch, balancing a party's right to a full trial against the opposing party's right not to be burdened by a non-starter suit. It then applied the Delphis Bank v Caneland principle that where a defence is a sham and unsustainable, a trial would only inflate costs and delay justice.

p. 3
03

Whether improvements made by the tenant to the premises could resist termination

Holding

No - the lease allowed alterations at the tenant's cost but required the tenant to yield up the premises with all fixtures and fittings, including those installed by the tenant, upon expiry or sooner determination

Reasoning

The defendant argued it had spent substantial sums building classrooms and facilities with the plaintiff's consent. The court found this could not constitute a triable issue because the lease expressly permitted alterations at the tenant's own cost and, under Clause 17, required delivery up of the premises with fixtures and fittings installed by the tenant upon expiry or sooner determination of the lease.

p. 3

Legal principles established

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  • The overriding principle in an application to strike out a pleading is whether it raises any triable issue; where the defence is frivolous and raises no triable issue, it will be struck out and judgment entered
  • Where a tenancy falls outside Cap 301, a six months' notice conforming to the lease suffices to terminate the tenancy, and it is immaterial that the notice was framed as if issued under the Act if no prejudice is suffered
  • Rent paid and received after a valid notice of termination may be received as mesne profits; the landlord's intention is paramount and mere receipt of rent does not necessarily create a new tenancy

Court orders

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  1. 1.The Notice of Motion dated 26th November 2018 by the plaintiff is allowed
  2. 2.The defendant's defence is struck out
  3. 3.Judgment is entered in terms of the plaint
  4. 4.Costs of the application awarded to the plaintiff

Authorities

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Legislation

  • Landlord & Tenant (Shops, Hotels & Catering Establishments) ActCap 301, Sections 2, 4 (provisos (i) and (ii)), 6, 7, 10
  • Civil Procedure RulesOrder 3

Cases cited (21)

  • Kivanga Estates Limited v National Bank of Kenya Limited
    (2017) eKLR
  • Continental Butchery Limited v Nthiwa
    (1978) eKLR
  • Sadolins Paints Ltd v Wali Mohamed & Co
    (1972) EA 395
  • Mohamed M. Hatimy v Lameck Oluoch
    Civil Appeal 93 of 2018 (unreported)
  • Woolf & Another v Macharia
    (197) EA 330
  • Jitenda Kanabar & Others v Fish & Meats Ltd
    (1997) KLR
  • Shiribhai Tayabali v Salim M. A Antar
    Mombasa HCCC 220/97 (unreported)
  • D. T. Dobie & Company (Kenya) Ltd v Muchina
    (1982) KLR 1
  • Beinosi v Wiyley
    1973 (SA) 721 (SCA)
  • Muchanga Investments Ltd v Safaris Unlimited (Africa) Ltd & 2 Others
    (2009) eKLR
  • Equatorial Commercial Bank Ltd v Jodam Engineering Works Limited & 2 Others
    (2014) eKLR
  • Olympic Escort International Co Ltd & 2 Others v Parminder Singh Sandhu & Another
    (2009) eKLR
  • Ecobank Kenya Limited v Bobbin Limited & 2 Others
    (2014) eKLR
  • Delphis Bank Limited v Caneland Limited
    (2014) eKLR
  • Margaret Njeri Mbugua v Kirk Mweya Nyaga
    (2016) eKLR
  • Dynamic Institute of Management & Accountancy (DIMA) Ltd v Apollo Insurance Company Ltd
    (2004) eKLR
  • Jubilee Insurance Company of Kenya Limited v Joseph Ndugu Karega t/a Leather Touch Foot Care Specialists
    (2014) eKLR
  • Dubai Bank Limited v Insurance Company of East Africa Limited
    (2013) eKLR
  • DI Koisagat Tea Estate Ltd v Eritrea Orthodox Tewhdo Church Ltd
    (2015) eKLR
  • Gusii Mwalimu Investment Company Ltd & 2 Others v Mwalimu Hotel Kisii Ltd
    (1995-1998) 2 EA 100
  • Rajan Shah t/a Rajan S. Shah & Partners v Bipin P. Shah
    (2016) eKLR
Jurisdiction invoked
Original civil jurisdiction over the landlord-tenant/land dispute; notice of motion under the Civil Procedure Rules seeking striking out of defence and judgment in terms of the plaint

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, "Abdarahman Aden v Nyali Intergrated Academy Ltd [2019] KEELC 241 (KLR)", Case Analysis (2019). Not stated in judgment (Mombasa Environment and Land Court suit). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2019/241/eng@2019-11-06

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