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ELCPartially AllowedMiscellaneous application dated 9/10/2019 (arising from BPRT Case No. 664 of 2015)· [2020] KEELC 1570 (KLR)

Hurlingham Grocers Limited v APA Insurance Limited [2020] KEELC 1570 (KLR)

Environment and Land Court of Kenya
20 July 2020
1,131 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan court let a late-appealing tenant appeal a rent ruling, but refused to pause enforcement, saying any overpaid rent can simply be offset later.

What this practically means

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Executive summary

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The Applicant, a tenant at APA Arcade in Hurlingham Shopping Centre, sought two orders: enlargement of time and leave to appeal out of time against the judgment of the BPRT Chairman (Hon. Mbichi Mboroki) delivered on 5/7/2019 in BPRT Case No. 664 of 2015, and a stay of execution of that judgment. The BPRT had assessed the monthly rent at Kshs 135,809/= with effect from 1/11/2015 and computed rent arrears of Kshs 4,526,911.12/= following a tenancy notice of 13/8/2015. The Applicant, through the affidavit of Firozali Kassam Jaffer, deponed that it learned of the judgment only on 9/9/2019 when served with a letter dated 31/7/2019 from Lloyd Masika Limited demanding rent arrears. The Respondent, through its Legal Manager Judith Onyango, opposed, contending the Applicant's advocates knew of the listing, that the delay was unexplained, that the intended appeal raised no arguable point, and that on the Applicant's own valuation the dispute concerned only Kshs 28,551.57 per month. The court accepted that nothing on record showed when the Applicant became aware of the decision and granted leave to appeal out of time within 14 days. However, it declined the stay of execution, holding the conditions for stay were not satisfied and that any overpaid rent could be offset against future rent if the appeal succeeded. Parties were directed to expedite the appeal, with costs of the application to abide the outcome of the appeal.

Key legal issues

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01

Leave to appeal out of time

Holding

Leave granted; the Applicant was unaware of the BPRT judgment until after the appeal period had lapsed

Reasoning

The order of 5/7/2019 confirmed the tenant's advocate was absent when the decision was delivered. Apart from Lloyd Masika Limited's letter of 31/7/2019 demanding rent arrears, there was nothing on record showing when the Applicant learnt of the decision. The court accepted the Applicant's assertion of ignorance of the judgment, and granted 14 days to lodge the appeal.

p. 2
02

Stay of execution pending appeal

Holding

Stay refused because the conditions for stay were not met and the Applicant would have an adequate remedy by offset against future rent

Reasoning

The Applicant remained in occupation as tenant and challenged only the rent increase and its effective date. Any sum found overpaid on appeal could be offset against future rent, so no substantial loss was demonstrated warranting stay of the decree for enhanced rent and arrears.

p. 2

Legal principles established

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  • Where the record shows nothing to establish when a party became aware of a tribunal's decision, the court may accept that the time for appeal lapsed before knowledge of the judgment, justifying enlargement of time
  • Stay of execution requires proof of substantial loss, an application made without delay, and security for due performance of the decree

Court orders

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  1. 1.Leave granted to the Applicant to file an appeal against the decision of the BPRT out of time within 14 days of the date of the ruling
  2. 2.Stay of execution of the BPRT judgment refused
  3. 3.Parties directed to take steps to have the appeal heard and determined expeditiously
  4. 4.Costs of the application to abide the outcome of the appeal
On appeal from
Nairobi Business Premises Rent Tribunal
BPRT Case No. 664 of 2015
Jurisdiction invoked
Appellate/supervisory jurisdiction over the Business Premises Rent Tribunal, including power to enlarge time and grant stay of execution pending appeal

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, "Hurlingham Grocers Limited v APA Insurance Limited [2020] KEELC 1570 (KLR)", Case Analysis (2020). Miscellaneous application dated 9/10/2019 (arising from BPRT Case No. 664 of 2015). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2020/1570/eng@2020-07-20

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