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ELCPartially AllowedOriginating Summons dated 8th May 2015· [2019] KEELC 1068 (KLR)

Peter Mwangi Kimani & 38 others v Virginiah Wairimu Njoroge t/a Mwoke United & 4 others [2019] KEELC 1068 (KLR)

Environment and Land Court
18 October 2019
4,147 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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A Thika court ordered a land seller to transfer 29 plots to buyers who paid in full, rejecting her attempt to charge a surprise Kshs.40,000 fee.

What this practically means

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Executive summary

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By an Originating Summons dated 8th May 2015, twenty-nine Plaintiffs sought specific performance compelling the 1st to 5th Defendants (or in default the Registrar of the Court) to take all steps, including transfers and subdivision, to vest portions of land hived off from Ruiru/Kiu Block 2/4565, 2/4566, 2/4706 and 2/4707 in the Plaintiffs, pursuant to their share ownership certificates, plus costs. The Plaintiffs, purchasers of plots between 2006 and 2015 from the 1st Defendant's land-buying company, alleged they had paid the full purchase price, held certificates and vacant possession, and that the 1st Defendant was acting in concert with the registered proprietors to defraud them of titles. The 1st Defendant, Virginiah Wairimu Njoroge, conceded the sales but contended the suit was premature, that succession causes over some parcels were pending, that the County Government of Kiambu barred subdivision of 40 x 60 ft plots, and that each Plaintiff had to pay Kshs.40,000/= for title processing. After viva voce evidence, the court framed two issues: validity of the sale agreements and entitlement to specific performance. Applying Section 3(3) of the Law of Contract Act and case law, the court found the sale agreements valid, fully paid for and enforceable. It held the Kshs.40,000/= fee was never part of the agreements, was unilaterally devised by the 1st Defendant, and could not be imposed since courts cannot rewrite contracts; the County Government bar allegation was unsupported rumour. Judgment was entered for the Plaintiffs in terms of prayers 1 and 2, with each Plaintiff to pay Kshs.5,000/= for title deeds plus statutory payments, completion by the 1st Defendant within 90 days.

Key legal issues

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01

Validity of the sale agreements under Section 3(3) of the Law of Contract Act

Holding

The sale agreements were valid and enforceable, satisfying the writing, signature and attestation requirements of Section 3(3)

Reasoning

The court examined the sale agreements produced in evidence and found they contained the names of the parties, description of the properties, purchase price and conditions, were in writing, signed by all parties and witnessed. Applying Section 3(3) of the Contract Act and the Nelson Kivuvani case, all the statutory ingredients were met, so the agreements were valid contracts enforceable by the parties.

p. 5
02

Whether the Plaintiffs were entitled to specific performance

Holding

Yes - specific performance granted as the contracts were valid, the purchase price was fully paid, and the Defendants would suffer no hardship

Reasoning

Specific performance is discretionary and requires a valid enforceable contract and the absence of an adequate alternative remedy or hardship. The court found valid contracts, acknowledged payment of the full consideration by the Plaintiffs, no illegality or vitiating factor, and no evidence supporting the alleged County Government bar to transfers of 40x60ft plots. The hardship claim was a mere excuse, so specific performance was warranted.

p. 7
03

Whether the 1st Defendant was owed Kshs.40,000/= per plot as a precondition to issuing title deeds

Holding

No - the Kshs.40,000/= was never part of the agreements and was unilaterally devised by the 1st Defendant; only Kshs.5,000/= and statutory fees are payable

Reasoning

The sale agreements contained no clause requiring payment of Kshs.40,000/=. The 1st Defendant admitted she calculated the fee herself and only communicated it after the suit was filed. Since parties who bought plots for Kshs.35,000-45,000 in 2006 would find such a fee unconscionable, and courts cannot rewrite contracts, the Plaintiffs were bound only to pay the Kshs.5,000/= acknowledged in evidence plus statutory payments.

p. 6
04

Whether the alleged County Government of Kiambu directive barring 40 x 60 ft subdivisions defeated the claim

Holding

No - the allegation was unsupported by any documentary evidence and was admitted in cross-examination to be rumour

Reasoning

The 1st Defendant alleged the County Government of Kiambu barred titling of plots of 40 x 60 ft, but produced no letter or document supporting this. In re-examination she acknowledged the allegations were rumours. She also confirmed mutations and consents had been obtained for plot No. 4707 and that other titles had been processed, demonstrating that processing the Plaintiffs' titles would present no difficulty.

p. 6

Legal principles established

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  • An agreement for sale of land containing the names of the parties, the property number, purchase price, conditions, obligations of the parties, signed and witnessed, amounts to a valid contract
  • A court of law cannot rewrite a contract between the parties; parties are bound by its terms unless coercion, fraud or undue influence are pleaded and proved
  • Specific performance is a discretionary equitable remedy granted on well-laid principles, based on a valid enforceable contract and not granted where damages are an adequate remedy or where it causes hardship to the defendant

Court orders

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  1. 1.Judgment entered for the Plaintiffs against the Defendants in terms of prayers No. 1 and 2 (specific performance compelling the Defendants, or in default the Registrar of the Court, to take all steps including transfers and subdivision to vest the suit parcels in the Plaintiffs)
  2. 2.Each Plaintiff to pay the sum of Kshs.5,000/= for the title deeds or any other monies statutorily required
  3. 3.The 1st Defendant to perform and complete the said actions within 90 days from the date of the judgment
  4. 4.Costs provided for in terms of prayer 2 of the Originating Summons

Authorities

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Legislation

  • Law of Contract Act (referred to as Contract Act)Section 3(3)
  • Auctioneers ActCap. 526

Cases cited (4)

  • Nelson Kivuvani vs Yuda Komora & Another
    Nairobi HCCC No.956 of 1991
  • Reliable Electrical Engineers Ltd vs Mantrac Kenya Limited
    (2006) eKLR
  • Total Kenya Ltd vs Joseph Ojiem
    Nairobi HCCC No.1243 of 1999
  • National Bank of Kenya Ltd vs Pipeplastic Samkolit (K) Ltd & Another
    Civil Appeal No.95 of 1999 (2001) KLR 112 (2002) EA 503
Jurisdiction invoked
Original jurisdiction under the Environment and Land Court Act over land transactions (specific performance of land sale agreements)

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, "Peter Mwangi Kimani & 38 others v Virginiah Wairimu Njoroge t/a Mwoke United & 4 others [2019] KEELC 1068 (KLR)", Case Analysis (2019). Originating Summons dated 8th May 2015. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2019/1068/eng@2019-10-18

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