Stephen Atallo Nyamanga v Anchor Investment Limited (Environment and Land Appeal 46 of 2018) (Environment and Land) [2020] KEELC 2613 (KLR)
The bottom line
#Kenya's Environment and Land Court confirmed that rent tribunals can fairly split the difference between landlords' and tenants' rent valuations.
What this practically means
#Executive summary
#Key legal issues
#Whether the Tribunal erred in averaging the valuers' rent figures instead of adopting either valuation report
No error; the Tribunal lawfully exercised its discretion under section 12(1)(b) of Cap 301
Section 12(1)(b) empowers the Tribunal to determine or vary rent having regard to all circumstances. The Chairperson considered both valuation reports, noted the landlord's report contained comparable lettings, and adopted an average of the parties' proposals. The court associated itself with Obaga J's decision in East African Seeds v Kaushik M Shah, where a similar averaging approach was upheld, and found the rent not exorbitant.
Whether the Tribunal erred in fixing the effective date of the increased rent
No error; the Tribunal properly varied the effective date under section 9(1)(a)
Section 9(1)(a) allows the Tribunal to approve a tenancy notice subject to such amendment as it thinks just having regard to all circumstances. Although the notice issued in April 2012, the Tribunal set the effective date at 1st September 2012, construing the landlord's delay in filing its valuation report (August 2012) against it. Following Sadhu v Vadgama Garage, the Tribunal may vary the date from which a notice takes effect.
Whether the appeal is merited
The appeal is unmerited and was dismissed with costs
Both grounds of attack on the Tribunal judgment failed. The Chairperson acted within her statutory discretion on rent assessment and the effective date. No error in law or fact was demonstrated, so the appeal was dismissed with costs to the Respondent.
Legal principles established
#- Under section 12(1)(b) of Cap 301, the Tribunal may determine or vary rent for a controlled tenancy having regard to all circumstances, and may properly adopt an average of the parties' valuers' proposals after considering the valuation reports.
- Under section 9(1)(a) of Cap 301, the Tribunal has power to vary the terms of a tenancy notice including the date from which it takes effect.
Court orders
#- 1.The appeal is dismissed
- 2.Costs of the appeal awarded to the Respondent
- On appeal from
- Business Premises Rent Tribunal
- BPRT Case No. 443 of 2012
- Jurisdiction invoked
- Appeal from the Business Premises Tribunal under the Landlord and Tenant (Shops, Hotels and Catering Establishments) Act (Cap 301)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Stephen Atallo Nyamanga v Anchor Investment Limited (Environment and Land Appeal 46 of 2018) (Environment and Land) [2020] KEELC 2613 (KLR)", Case Analysis (2020). ELC Appeal No. 46 of 2018. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2020/2613/eng@2020-05-06
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.