Musyoka Murambi & Associates v Kenneth J. Kamau Ngigi;Coulson Harney Llp (Interested Party) [2020] KEELC 2670 (KLR)
The bottom line
#A Kenyan court converted a lawyer's taxed fees into a judgment of over Kshs. 10.5 million, with 14% interest, and secured it against money held for the client.
What this practically means
#Executive summary
#Key legal issues
#Conversion of a Certificate of Costs into a decree and judgment under Section 51(2) of the Advocates Act
Where the certificate of taxation has not been set aside or altered and the retainer is not disputed, the court will enter judgment for the sum certified and award interest at 14% per annum under Rule 7 of the Advocates Remuneration Order.
The court applied Section 51(2) of the Advocates Act, under which the taxing officer's certificate is final as to the amount of costs unless set aside or altered. Rule 7 of the Advocates Remuneration Order permits interest at 14% per annum on costs from one month after delivery of the bill where the claim for interest is raised before payment. The Respondent and Interested Party filed no response, never sought to set aside the Bill of Costs, and the retainer was never contested, so the averments stood uncontroverted. The court associated itself with Musyoka & Wambua Advocates v Rustam Hira and Otieno Yogo & Company Advocates v Kisumu Water and Sewerage Co. Limited and allowed the conversion with interest.
Whether the Interested Party holding funds potentially due to the Respondent can be treated as a Garnishee
An advocate-decree holder may attach a client's money held by a third party (the Interested Party) as a Garnishee, with the decretal sum constituting a priority charge over such monies.
The court applied Order 23 Rule 1 of the Civil Procedure Rules, which permits attachment of debts owed to a judgment-debtor by a third person (the garnishee). Relying on Orion East Africa v Mugama Farmers Cooperative Union Limited and Odhiambo Owiti & Company Advocate v CFC Stanbic Bank Limited, the court noted garnishee proceedings allow a third party holding funds on behalf of a judgment debtor to be called upon to honour the judgment creditor's claim. Since the Applicant's averments were uncontroverted and the Interested Party holds Kshs. 235,295,000 on account of the purchase price of the suit land, it could be held as a Garnishee.
Legal principles established
#- The Court has discretion to enter judgment on a Certificate of Taxation which has not been set aside or altered, where there is no dispute as to retainer, as a mode of recovery of taxed costs.
- Garnishee proceedings are proceedings where a third party holding funds or property on behalf of a judgment debtor can be called upon to honour the claim of a judgment creditor over those funds or property.
Court orders
#- 1.The Certificate of Costs dated and issued on 22nd May, 2019 in the sum of Kshs. 10,534,628.00 be and is hereby converted into a Decree and Judgement of the Court.
- 2.The decretal sum be paid by the Respondent to the Applicant with interest at the rate of 14% per annum from 22nd May 2019 until payment in full.
- 3.The decretal sum plus interest and costs be a priority charge over all the monies held by the Interested Party for the benefit of the Respondent over Land Parcel Number Kajiado/Dalalekutuk/1320 in the event of Judgment being delivered in favour of the Respondent in Kajiado ELC No. 197 of 2017 Samuel Teeele Akute Vs. Kenneth Kamau Ngigi and Others.
- 4.Costs of the Application awarded to the Applicant.
- Jurisdiction invoked
- Section 51(2) of the Advocates Act; Order 22 Rule 1 and Order 23 Rules 1 & 2 of the Civil Procedure Rules; Sections 1A, 1B & 3A of the Civil Procedure Act
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Musyoka Murambi & Associates v Kenneth J. Kamau Ngigi;Coulson Harney Llp (Interested Party) [2020] KEELC 2670 (KLR)", Case Analysis (2020). Notice of Motion dated 17th September, 2019. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2020/2670/eng@2020-05-12
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.