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ELCDismissedNot stated in the judgment provided (suit filed by plaint dated 1st December 2017)· [2019] KEELC 1062 (KLR)

Zelima Atieno Ogada v Fintel Limited & another [2019] KEELC 1062 (KLR)

High Court of Kenya at Mombasa
28 October 2019
2,931 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~12 min to read original · ~4 min brief

The bottom line

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The High Court in Mombasa refused to strike out a land ownership dispute, ruling that genuine disagreements about property titles must be resolved through a full trial, not shortcuts.

What this practically means

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Executive summary

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The 1st defendant, by Notice of Motion dated 16th October 2018 under Order 2 Rule 15(1)(d) and Order 51 Rule 1 of the Civil Procedure Rules, sought to strike out the plaintiff's suit claiming ownership of LAND REFERENCE NO. KWALE/GALU KINONDO/34. The 1st defendant argued that the suit was a gross abuse of court process, being the second suit over the same subject matter after HCCC No. 350 of 2015 which the plaintiff withdrew; that Chambedo Holdings Limited, the plaintiff's alleged transferor, acquired title on 18th May 2011 three years before its incorporation on 14th March 2014 and never validly held or transferred title; and that the plaintiff's title was procured by fraud. The plaintiff opposed, asserting she purchased the property for Kshs.18,000,000 from Chambedo Holdings Limited after conducting official searches, and that striking out is a draconian measure of last resort inappropriate where triable issues exist. The court, C.K. Yano J, applied the settled principles in Hatimy, Yaya Limited and DT Dobie that the power to strike out is discretionary, to be exercised sparingly and only in the clearest of cases. Holding that both parties claim genuine titles and each accuses the other of fraudulently acquiring title, the court found triable issues warranting a full trial and declined to strike out the suit. The judgment as provided ends mid-sentence while addressing the effect of the plaintiff's withdrawal of the earlier suit under Order 25 Rule 1, and contains no recorded final orders or costs order.

Key legal issues

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01

Whether the plaintiff's suit should be struck out under Order 2 Rule 15(1)(d)

Holding

The application fails because the pleadings disclose triable issues; both parties claim genuine titles and each accuses the other of fraud, issues which require a full trial.

Reasoning

The court applied the settled principles from Hatimy, Yaya Limited and DT Dobie that striking out is a discretionary power to be exercised sparingly and only in the clearest of cases, balancing a party's right to a full trial against the opposing party's right not to be burdened with a non-starter suit. On the pleadings, both the plaintiff and the 1st defendant claim genuine titles over KWALE/GALU KINONDO/34 and each alleges fraudulent acquisition by the other. Such contested questions of title and fraud cannot be resolved on documents at an interlocutory stage.

p. 3
02

Whether the earlier withdrawn suit (HCCC No. 350 of 2015) renders this suit an abuse of process

Holding

The argument was not sustained; withdrawal of a suit does not bar a fresh suit, the defendant's recourse being to costs.

Reasoning

The 1st defendant argued that the plaintiff filed and withdrew an earlier suit over the same subject matter, making this suit an abuse of process. The plaintiff countered that she had a legal right to withdraw under Order 25 Rule 1 of the Civil Procedure Rules, which is not a bar to filing a fresh suit, the defendant's remedy being costs already awarded. The court began to address the point by reference to Order 25 Rule 1 but the judgment as provided breaks off at that point, so no completed finding is recorded.

p. 3

Legal principles established

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  • The power to strike out pleadings is discretionary and should be exercised sparingly and only in the clearest of cases
  • A plaintiff is entitled to pursue a claim however improbable the chances of success unless the defendant demonstrates shortly and conclusively that the claim is bound to fail or is an abuse of process
  • No suit ought to be summarily dismissed unless it appears so hopeless that it plainly and obviously discloses no reasonable cause of action and is incurable by amendment
  • The overriding consideration on a striking-out application is whether the pleading raises a triable issue

Court orders

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  1. 1.No explicit final orders recorded in the judgment as provided; the judgment ends mid-sentence at paragraph 13 while considering the res judicata/abuse argument under Order 25 Rule 1, with the clear implication that the 1st defendant's striking-out application was unsuccessful

Authorities

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Legislation

  • Civil Procedure RulesOrder 2 Rule 15(1)(d)
  • Civil Procedure RulesOrder 51 Rule 1
  • Civil Procedure RulesOrder 25 Rule 1
  • Land Registration ActSection 26(1)

Cases cited (10)

  • Agnes Naipanoi Pasha –v- Stephen K. Wangombe & 2 Others, High Court Civil Suit No. 123 of 2011
  • Peter Njoroge Nganga –v- Kenya Reinsurance Corporation Limited (statutory manager for United Insurance Company) & Another
    (2008) eKLR
  • Kofinaf Company Limited & Another –v- Nahason Ngige Nyagah & 20 Others
    (2017) eKLR
  • Beijing Industrial Designing Institute –v- Lagoon Development Limited
    (2015) eKLR
  • Transcend Media Group Limited -v- Independent Electoral & Boundaries Commission (IEBC)
    (2015) eKLR
  • Elijah Sikona & Georg Pariken Narok on behalf of Trusted Society of Human Rights Alliance –v- Mara Conservancy & 5 Others
    (2015) eKLR
  • Mohamed Mohamed Hatimy –v- Lameck Oluoch t/a Lamathe Hygienic Foods, Civil Appeal No. 93 of 2018
  • Kivanga Estates Limited –v- National Bank of Kenya Limited
    (2017) eKLR
  • Yaya Limited –v- Trade Bank Limited (in liquidation)
    (2000) eKLR
  • DT Dobie & Company (Kenya) Ltd -v- Muchina
    (1982) KLR 1
Jurisdiction invoked
Original civil jurisdiction of the High Court; application brought under Order 2 Rule 15(1)(d) and Order 51 Rule 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, "Zelima Atieno Ogada v Fintel Limited & another [2019] KEELC 1062 (KLR)", Case Analysis (2019). Not stated in the judgment provided (suit filed by plaint dated 1st December 2017). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2019/1062/eng@2019-10-28

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