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ELCPartially AllowedKisumu ELC Case (Originating Summons) - not expressly stated in the judgment· [2020] KEELC 2852 (KLR)

Sanjay Varma & 2 others v Jackson Eshiwani Likoye & 7 others [2020] KEELC 2852 (KLR)

Environment and Land Court
5 May 2020
4,860 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~19 min to read original · ~4 min brief

The bottom line

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A Kenyan court cancelled land titles because buyers couldn't produce the power of attorney behind the transfer — withholding key documents can cost you your property.

What this practically means

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Executive summary

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The Plaintiffs, successors in interest of the estate of Kaushalya Devi Kohli, filed an Amended Originating Summons seeking registration as owners of an undivided half share of Kisumu Municipality/Block 7/331, cancellation of the title issued to the Defendants, and conveyance. They alleged that a power of attorney dated 17th July 2004 purporting to donate authority to one Jackson Eshiwani Likoye was forged, and that the transfer of 19th September 2006 to the 2nd to 8th Defendants was fraudulent and void. The Defendants pleaded they were bona fide purchasers for value who conducted due diligence through an official search, having dealt with the 1st Defendant on the strength of a registered power of attorney. The court first dealt with capacity, holding that unregistered foreign powers of attorney could not be exhibited but the original Plaintiffs' pleadings survived, and that PW2's undated but registered power of attorney was valid since signature and verification are the bare minimum requirements. On validity of the transfer, the court held the burden lay on the Defendants under Section 107 of the Evidence Act to prove a valid registered power of attorney; their failure to produce it attracted an adverse inference, applying Mativo J's articulation in In Estate of Stanley Kori Kiongo. Although fraud was not sufficiently demonstrated against the 2nd to 8th Defendants, the Plaintiffs proved on a balance of probabilities that the property was acquired illegally and/or unprocedurally, rendering the title challengeable under Section 26(1) of the Land Registration Act. The court ordered rectification of the register under Section 80, restoring the Plaintiffs' undivided half share and recognizing Lalchand Kohli's undivided half share, cancelled the Defendants' title, directed the Deputy Registrar to sign conveyance documents, and awarded costs to the Plaintiffs.

Key legal issues

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01

Capacity of the Plaintiffs to sue

Holding

The 1st Plaintiff's unregistered foreign powers of attorney could not be exhibited, but the original Plaintiffs' pleadings and interests stand; PW2's undated but registered and signed power of attorney was valid under sections 109, 110 and 114 of the repealed Registered Land Act.

Reasoning

The powers of attorney executed in the United Kingdom were not registered in Kenya as required under Section 44(4) of the Land Registration Act, so the 1st Plaintiff's evidence was disregarded, but the original Plaintiffs' interests and pleadings could not be ignored. For PW2, the bare minimum for execution - signature by the donor and verification by the Registrar - was met; absence of a date was not fatal absent proof of pre-registration use of the instrument.

p. 5
02

Validity of the sale and transfer of the suit property

Holding

The Defendants failed to produce the original or certified power of attorney supporting the transfer; an adverse inference was drawn, and the transfer was found to be irregular, rendering the Defendants' title challengeable under Section 26(1) of the Land Registration Act.

Reasoning

Under Section 107 of the Evidence Act the burden of proving the sale was conducted on a valid registered power of attorney lay on the Defendants. They withheld the document central to the transaction. Though fraud was not proved against the 2nd to 8th Defendants, the acquisition was proved to be illegal/unprocedural, warranting rectification of the register under Section 80 of the Land Registration Act.

p. 5

Legal principles established

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  • Unexplained failure by a party to tender documents or call a witness permits an adverse inference that the uncalled evidence would not have assisted the party's case
  • Where a party withholds evidence central to the validity of a transfer (the original or certified power of attorney), the court may infer it was unregistered or adverse to that party

Court orders

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  1. 1.That the Plaintiffs be registered as the owners of undivided half share of land reference number KISUMU MUNICIPALITY/ BLOCK 7/331 measuring 0.0697 Ha or thereabouts
  2. 2.That the title issued to the Defendants is revoked and or annulled and or cancelled altogether
  3. 3.That the Deputy Registrar Kisumu to sign documents for the purposes of conveyance for the Plaintiffs or their nominee(s) on behalf of the Defendants
  4. 4.That the Respondents are condemned to meet costs of this suit

Authorities

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Legislation

  • Law of Succession Actresealing of foreign grants
  • Registered Land Act (repealed)Sections 91(5) and (6), 96, 107, 109(2), 110, 114
  • Registration of Documents ActSection 9
  • Evidence ActSection 107
  • Land Registration ActSections 26(1), 44(4), 80

Cases cited (5)

  • Lawrence P. Mungai v AG & 4 others
    Nairobi Civil Appeal No. 146 of 2014
  • Alice Chemutai Too v Nickson Kipkurui Korir & 2 others
    Kericho ELC No. 51 of 2014 (OS)
  • Lawrence Mukiri v Attorney General & 4 other
    [2013] eKLR
  • Eunice Grace Njambi Kamau & another v The Hon. Attorney General and 5 others
    [2000] eKLR
  • In Estate of Stanley Kori Kiongo Alias Kori Kiongo-Deceased
    [2016] eKLR
Jurisdiction invoked
Original jurisdiction under Article 162(2)(b) of the Constitution and the Environment and Land Court Act (not expressly cited; ELC first-instance land claim)

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, "Sanjay Varma & 2 others v Jackson Eshiwani Likoye & 7 others [2020] KEELC 2852 (KLR)", Case Analysis (2020). Kisumu ELC Case (Originating Summons) - not expressly stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2020/2852/eng@2020-05-05

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