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ELCDismissedNot stated in the judgment· [2020] KEELC 1839 (KLR)

Cheruiyot Edwin Mutai v Cyrus Ngaruiya [2020] KEELC 1839 (KLR)

Environment and Land Court
6 July 2020
2,232 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 confirmed that a third party in a land dispute can counter-claim against the plaintiff, and struck-out attempts to block this will fail.

What this practically means

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Executive summary

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The plaintiff, Cheruiyot Edwin Mutai, moved by notice of motion dated 20 November 2019 under Order 1 Rule 15, Order 2 Rule 15, Order 51 of the Civil Procedure Rules, 2010 and Sections 1A, 1B and 3A of the Civil Procedure Act, seeking to strike out the counter-claim of the third party, Michael Aringo Onyura, on the grounds that it disclosed no reasonable cause of action, was scandalous, frivolous or vexatious, would prejudice the fair trial of the action, and was an abuse of process. The plaintiff argued that third party proceedings concern only the defendant and the third party, essentially contribution or indemnity, and that he had no claim against the third party. The third party opposed, relying on Order 1 rule 15 and the decisions in Interactive Advertising Ltd v Equity Bank Ltd and Thachmaanz Ltd v Pride Inn Ltd, submitting that ownership of the disputed land was an issue between the plaintiff and himself, that striking out the counter-claim would force him to file a separate suit, and that the plaintiff had already been ordered on 21 September 2019 to file a defence to the counter-claim. The court held that third party proceedings under Order 1 rule 15(1)(b) and (c) are not limited to contribution or indemnity and may cover issues between any of the three parties, including an issue directly between the third party and the plaintiff. However, Order 1 rule 15 empowers only the defendant; the third party's proper foundation is Order 1 rule 17, which permits him to dispute the plaintiff's claim by defence or defence and counter-claim. Noting the interconnected ownership claims over the land and the desirability of avoiding multiplicity of suits, the court dismissed the application with costs on 6 July 2020.

Key legal issues

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01

Scope of third party proceedings under Order 1 rule 15

Holding

Third party proceedings are not solely about contribution or indemnity; subrules (b) and (c) envisage relief and issues connected with the original subject-matter involving all three parties, including an issue between the third party and the plaintiff.

Reasoning

The court examined the literal language of Order 1 rule 15(1)(a), (b) and (c). While (a) covers contribution or indemnity, subrule (c) expressly contemplates questions determined not only between plaintiff and defendant but between any or either of the three parties. The plaintiff's restrictive reading of third party proceedings was therefore wrong.

p. 2
02

Whether a third party may counter-claim against the plaintiff

Holding

Yes. Order 1 rule 15 empowers the defendant, not the third party, but Order 1 rule 17 permits the third party to dispute the plaintiff's claim, and this may be done by filing a defence or a defence and counter-claim.

Reasoning

The court distinguished the function of Order 1 rule 15 (defining the range of issues third party proceedings may cover and what the defendant may do) from Order 1 rule 17 (what the third party may do). Since a plaint is answered by defence or defence and counter-claim, the third party's counter-claim against the plaintiff is a legitimate means of disputing the plaintiff's claim.

p. 3
03

Efficiency of disposing of interconnected ownership claims in one suit

Holding

Given the interconnected competing ownership claims over the disputed land, it is pragmatic and desirable to handle the matter as one suit rather than encouraging a separate suit by the third party.

Reasoning

The plaintiff claims ownership; the defendant claims to have purchased from the third party; the third party supports the defendant and alleges fraud against the plaintiff. Striking out the counter-claim would foreseeably lead to a separate suit referring to the same matter, increasing costs and creating difficulties. Further, striking out only the counter-claim would leave the third party's defence standing despite the same complaint applying to it.

p. 3

Legal principles established

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  • Third party proceedings are not limited to contribution or indemnity; under Order 1 rule 15(1)(b) and (c) they may cover issues between the plaintiff, defendant and third party or any of them, including an issue directly between the third party and the plaintiff.
  • Order 1 rule 15 governs what the defendant may do in third party proceedings, while Order 1 rule 17 entitles the third party to dispute the plaintiff's claim, which may be done by filing a defence or a defence and counter-claim.
  • Where claims of ownership to land are interconnected among plaintiff, defendant and third party, it is desirable that the whole dispute be handled as one suit to avoid multiplicity of proceedings.

Court orders

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  1. 1.The plaintiff's application to strike out the third party's counter-claim is dismissed
  2. 2.Costs of the application awarded to the third party

Authorities

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Legislation

  • Civil Procedure Rules, 2010Order 1 Rule 15
  • Civil Procedure Rules, 2010Order 1 Rule 17
  • Civil Procedure Rules, 2010Order 1 Rules 15-22
  • Civil Procedure Rules, 2010Order 2 Rule 15
  • Civil Procedure Rules, 2010Order 51
  • Civil Procedure Act (cap 21)Sections 1A, 1B and 3A

Cases cited (7)

  • COMISSIONER FOR TRANSPORT VS. F.O.BOERO
    (1954) LRK 9
  • ZANFRA VS DUNCAN & ANOTHER
    (1969) THCD, 135
  • NAIROBI CITY COUNCIL VS THE CO-OPERATIVE BANK OF KENYA LIMITED
    CA NO. 226 OF 2000
  • JESSIE MWANGI GACHAGO VS ATTORNEY GENERAL & OTHERS
    CA NO. 24 OF 1980
  • KENINDIA ASSURANCE COMPANY LIMITED VS SAMUEL NJUGUNA GITAKA & ANOTHER
    CA NO. 130 OF 1992
  • INTERACTIVE ADVERTISING LIMITED & ANOTHER VS EQUITY BANK LIMITED & 2 OTHERS
    (2016)eKLR
  • THACHMAANZ LTD VS PRIDE INN LTD
    (2016)eKLR
Jurisdiction invoked
Civil Procedure Act (cap 21) and Civil Procedure Rules, 2010 (Order 1 Rule 15, Order 2 Rule 15, Order 51; Sections 1A, 1B and 3A)

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, "Cheruiyot Edwin Mutai v Cyrus Ngaruiya [2020] KEELC 1839 (KLR)", Case Analysis (2020). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2020/1839/eng@2020-07-06

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