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ELCDismissedNot stated on the face of the ruling (chamber summons dated 9/12/2018 arising from a party and party bill of costs dated 11/2/2013)· [2020] KEELC 2129 (KLR)

Mary Wangui Karanja & another v Joseph Njenga & 2 others [2020] KEELC 2129 (KLR)

High Court of Kenya (court not expressly named on the face of the ruling; the underlying suit is a land dispute)
4 June 2020
3,641 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~15 min to read original · ~4 min brief

The bottom line

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The High Court dismissed a challenge to a Kshs 844,837 costs award, confirming judges will rarely disturb a taxing officer's decision without proof of a clear error of principle.

What this practically means

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Executive summary

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This ruling determines a reference by way of chamber summons dated 9/12/2018 brought by Francis Ndegwa, the 3rd defendant, seeking to set aside the decision of the taxing officer (Hon Barasa) of 16/1/2018, which taxed the plaintiffs' party and party bill of costs at Kshs 844,837 following judgment in their favour by Okwengu J on 22/6/2012. The applicant contended that the taxing officer used wrong principles in assessing 53 items, notably by introducing inflationary trends and the effort employed by counsel, and that the Kshs 500,000 instruction fee and other awards were manifestly excessive. The plaintiffs opposed, maintaining the taxing officer applied the correct principles and that the instruction fee fairly covered both the main suit and the dismissed counter-claim. Justice Eboso framed two questions: whether the criteria for interfering with a taxing officer's quantum decision had been met, and whether the orders sought were available. The court held that the taxing officer applied the correct principles from Joreth v Kigano, Premchand Raichand and First American Bank v Shah; that professional effort forms part of the general conduct of proceedings and inflation could properly be considered where instructions were implemented over 19 years; and that the awards were not manifestly excessive given the 11.5-acre land dispute and the counter-claim. Absent identification of items exceeding scale fees, the court declined to enter the arena of quantum. The reference was dismissed with costs to the plaintiffs.

Key legal issues

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01

Whether the taxing officer erred in principle by considering inflationary trends and the effort employed by counsel in assessing instruction fees

Holding

No error of principle: both factors fall within the recognized criteria for assessing instruction fees where the value of the subject matter is unascertainable

Reasoning

The court set out verbatim the taxing officer's criteria and found she had regard to the Advocates Remuneration Order and the Joreth and Premchand Raichand principles. General conduct of proceedings, which includes professional effort, is a relevant factor under Joreth. Inflation could be considered because instructions were implemented over 19 years of litigation.

p. 4
02

Whether Kshs 500,000 instruction fees was manifestly excessive

Holding

It was not inordinately high, given the 11.5-acre land dispute and that the fee covered both the main suit and the counter-claim raising constitutional issues

Reasoning

The court held that even absent the contested factors, the award could not be said to be manifestly high. The dispute concerned 11.5 acres in Kabete and the instruction fee covered two suits in one - the main suit and the counter-claim - which the taxing officer expressly considered.

p. 4
03

Whether the awards on the other 51 contested items were excessive

Holding

Matters of quantum belong to the taxing officer; absent evidence identifying which items exceeded scale fees, the court declines to interfere

Reasoning

The taxing officer taxed off items drawn outside scale fees and allowed items drawn to scale. The applicant did not identify which item went beyond which scale. Citing Peter Muthoka v Ochieng, the court held a judge should not enter the arena of quantum without evidence of error of principle.

p. 4

Legal principles established

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  • A judge on a reference will not interfere with the taxing officer's discretion on quantum unless an error of principle or manifest excessiveness is shown
  • Professional effort employed by counsel is part of the general conduct of the matter, a relevant factor in assessing instruction fees
  • Inflationary trends may properly be taken into account where instructions were implemented over a long period

Court orders

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  1. 1.The chamber summons dated 9/12/2018 fails and is dismissed
  2. 2.The plaintiffs shall have costs of the chamber summons

Authorities

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Legislation

  • Advocates (Remuneration) (Amendment) Order 1997Schedule VI
  • Advocates (Remuneration) (Amendment) Order 2006Schedule VI
  • Advocates Remuneration OrderRule 11
  • Government Lands ActCap 280, Section 2

Cases cited (5)

  • Joreth Limited v Kigano & Associates
    [2002] 1 EA 92; [2002] eKLR; CA No 66 of 1999
  • Premchand Raichand Limited & Another v Quarry Services of East Africa Limited & Another
    [1972] EA 162
  • First American Bank of Kenya v Shah & Others
    [2002] 1 EA 64
  • Peter Muthoka & another v Ochieng & 3 Others
    [2019] eKLR
  • Kyalo Mbabu t/a Kyalo & Associates v Jacob Juma
    [2015]
Jurisdiction invoked
Rule 11 of the Advocates Remuneration Order (reference to a judge of the superior court against a taxing officer's decision)

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, "Mary Wangui Karanja & another v Joseph Njenga & 2 others [2020] KEELC 2129 (KLR)", Case Analysis (2020). Not stated on the face of the ruling (chamber summons dated 9/12/2018 arising from a party and party bill of costs dated 11/2/2013). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2020/2129/eng@2020-06-04

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