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ELCAllowedNot stated in the judgment (plaint dated 20th March 2012)· [2019] KEELC 1586 (KLR)

Alice Jane Njoki Chege v Rachel Wanjiku Chege & 2 others [2019] KEELC 1586 (KLR)

Environment and Land Court
30 September 2019
4,667 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~19 min to read original · ~4 min brief

The bottom line

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A Kenyan court confirmed that land buyers get no title if the seller was never the real owner — the defrauded owner got her land back.

What this practically means

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Executive summary

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The plaintiff, resident in Australia, purchased the suit property Tigoni/Mabrouke Block 1/1080 in 2007 and entrusted the title deed to her sister, the 1st defendant, to deposit in a bank safe. In May 2010 the 1st defendant impersonated the plaintiff, sold the land to the 2nd defendant (buying for his son, the 3rd defendant) for Kshs.846,000, and transferred it to the 3rd defendant. She was convicted in Limuru Criminal Case No. 712 of 2010 for the fraud and sentenced to 2½ years' imprisonment. The plaintiff sued for a declaration of ownership, a finding of fraud, and rectification of the register. The 1st defendant did not enter appearance. The 2nd and 3rd defendants denied collusion, pleaded good faith and due diligence, and alleged in the alternative that the plaintiff facilitated the fraud. The court framed seven issues. It held the suit was not bad in law, admissibility objections going to proof and having been raised too late. The 1st defendant's fraud was established by her conviction and undisputed evidence. No collusion by the 2nd and 3rd defendants was proved, although the 2nd defendant's diligence was questioned given the speed of the transaction and payment into the 1st defendant's account. The plaintiff did not abet the fraud. Because the 1st defendant was not the owner, she could pass no title, and the 3rd defendant acquired none however innocent. Judgment was entered for the plaintiff against all defendants jointly and severally; the register was to be rectified by cancelling the 3rd defendant's entries and restoring the plaintiff's, with a fresh title deed issued to the plaintiff. The plaintiff was awarded the costs of the suit.

Key legal issues

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01

Whether the suit against the 2nd and 3rd defendants was bad in law because PW1's evidence was allegedly hearsay and based on a post-transaction power of attorney

Holding

The objection failed; the suit was properly prosecuted under a duly stamped and registered power of attorney and PW1's evidence was largely within her own knowledge.

Reasoning

The court held that admissibility of evidence goes to proof, not to the viability of the suit. The objection should have been raised when the witness testified. PW1's evidence was within her own knowledge, and the source of her information (PW2) was called and available for cross-examination. No connection was shown between the date of the power of attorney and her testimony.

p. 3
02

Whether the 1st defendant fraudulently sold and transferred the plaintiff's land

Holding

Yes; the 1st defendant's conviction in Limuru Criminal Case No. 712 of 2010 established the fraud, misrepresentation and deceit.

Reasoning

The 1st defendant was convicted of obtaining money by false pretences, obtaining land by false pretences and cheating the Land Control Board, and did not appeal. The 2nd and 3rd defendants did not contest that they dealt with the 1st defendant who pretended to be the plaintiff. The court was satisfied the sale and transfer were procured by fraud.

p. 4
03

Whether the 2nd and 3rd defendants colluded in the fraud

Holding

No collusion proved, though the 2nd defendant was found not diligent in conducting the transaction.

Reasoning

The court noted the suspicious speed of the transaction and the payment of the purchase price into the 1st defendant's account rather than the plaintiff's, but held there was no evidence the 2nd and 3rd defendants knew the seller was not the owner. Suspicion of lack of diligence did not amount to proof of collusion.

p. 4
04

Whether the plaintiff abetted or facilitated the fraud

Holding

No; the allegation was unsupported by evidence and contradicted by the plaintiff's reporting of the 1st defendant to the police.

Reasoning

The court reasoned that if the plaintiff had been party to the fraud she would not have reported the 1st defendant to police and prosecuted her. The criminal court had dismissed the 1st defendant's defence that the plaintiff authorised the sale. The 2nd and 3rd defendants adduced no material from which knowledge or approval by the plaintiff could be inferred.

p. 4
05

Whether the 3rd defendant obtained a valid title

Holding

No; a non-owner could pass no title, and the 3rd defendant could not acquire proprietary interest however innocent.

Reasoning

It was undisputed that the plaintiff owned the land and never transferred it. The 1st defendant, not being the owner, had no interest to convey. The court relied on Alberta Mae Gacie v Attorney General and Arthi Highway Developers Ltd v West End Butchery Ltd to hold that innocence of the purchaser does not confer title where the vendor had none.

p. 4
06

Whether the plaintiff was entitled to the reliefs sought

Holding

Yes; the claim was proved and the declaration and rectification of the register were granted, the joinder of the 2nd defendant being proper.

Reasoning

The 2nd defendant was the prime mover of the transaction and a necessary party for complete adjudication. The plaintiff proved her claim against all defendants, and there was no hindrance to granting the declaration of ownership and rectification of the register by cancelling the 3rd defendant's registration.

p. 5

Legal principles established

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  • A seller who is not the owner of the land cannot convey title to a purchaser, however innocent the purchaser may be.
  • The admissibility of a party's evidence does not determine whether a suit is bad in law; it is relevant only to proof of the claim, and an objection to admissibility must be raised when the evidence is tendered.
  • Costs follow the event unless the court orders otherwise.

Court orders

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  1. 1.Judgment entered for the plaintiff against the defendants jointly and severally in terms of prayers (a) and (b) of the plaint dated 20th March 2012
  2. 2.The Land Registrar, Kiambu Land Registry to rectify the register of L.R No. Tigoni/Mabroukie Block 1/1080 by cancelling entries numbers 6 and 7 and restoring entries numbers 4 and 5
  3. 3.The 3rd defendant to return the title deed issued to him to the Land Registrar forthwith for cancellation, failing which it shall be deemed cancelled
  4. 4.The Land Registrar to issue the plaintiff with another title deed for L.R No. Tigoni/Mabroukie Block 1/1080 subject to payment of the necessary charges
  5. 5.The plaintiff to have the costs of the suit

Authorities

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Legislation

  • Land Control Act (implied from Land Control Board consent)Consent to transfer

Cases cited (2)

  • Alberta Mae Gacie v. Attorney General & Others
    [2006] eKLR
  • Arthi Highway Developers Ltd. Vs. West End Butchery Ltd. & 6 Others
    [2015] eKLR
Jurisdiction invoked
Original civil jurisdiction over land (Environment and Land Court); suit instituted by plaint dated 20th March 2012

Key timeline

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Practical implications

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Frequently asked questions

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Later judgments citing this (1)

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Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

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Cite this brief

Caselaw, "Alice Jane Njoki Chege v Rachel Wanjiku Chege & 2 others [2019] KEELC 1586 (KLR)", Case Analysis (2019). Not stated in the judgment (plaint dated 20th March 2012). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2019/1586/eng@2019-09-30

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