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ELCDismissedNotice of Motion dated 24th August 2020 in Kericho ELC (Originating Summons dated 8th June 2016)· [2021] KEELC 416 (KLR)

Joseph Kiprono Too v Unilever Tea Kenya Limited [2021] KEELC 416 (KLR)

Environment and Land Court
9 December 2021
1,753 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~7 min to read original · ~4 min brief

The bottom line

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A Kenyan court ruled that withdrawing a land case doesn't automatically mean paying the company's legal costs.

What this practically means

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Executive summary

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The Applicant, Unilever Tea Kenya Limited, moved the court by Notice of Motion dated 24th August 2020 under Article 159 of the Constitution, Sections 1A, 1B, 3A and 27 of the Civil Procedure Act and Order 25 Rule 2(2) & 3 and Order 51 Rule 1 of the Civil Procedure Rules, seeking the costs of a suit in which the Respondent had sought a declaration of adverse possession over LR No. 5467/1 by Originating Summons dated 8th June 2016. The suit was withdrawn on 6th February 2020 with costs left for later determination. The Applicant argued it had incurred substantial expenses defending the suit and would have settled any demand without litigation. The Respondent opposed, submitting the suit was genuine, not vexatious, was withdrawn only for lack of documentary evidence, and that he was a peasant farmer unable to pay costs, relying on Party of Independent Candidate of Kenya v Mutula Kilonzo. Justice M.C. Oundo reiterated that under Section 27 costs follow the event but remain at the court's discretion, guided by the factors in Morgan Air Cargo v Evrest Enterprises. Noting that the Applicant's counsel never attended court for mentions or hearings, filed only an 11-line replying affidavit with no annexures, and never complied with Order 11 directions, while the suit itself was genuinely founded and withdrawn for want of documentary evidence, the court held each party's conduct contributed to the litigation. The application was dismissed, with each party ordered to bear its own costs of the suit.

Key legal issues

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01

Entitlement to costs where a suit is withdrawn before hearing

Holding

The Applicant was not entitled to the costs of the suit; each party was ordered to bear its own costs because both parties' conduct contributed to the filing and termination of the proceedings

Reasoning

Section 27 provides that costs follow the event, but the award remains a judicial discretion to be exercised on the circumstances of each case. The court considered the factors in Morgan Air Cargo: conduct of parties, circumstances leading to institution and termination, stage and manner of termination, and the parties' relationship. The suit was genuinely founded and not frivolous; its withdrawal stemmed from the Respondent's inability to gather documentary evidence. The Applicant's counsel never attended court, filed only an 11-line replying affidavit without annexures, and never complied with Order 11 directions. Fairness dictated each party bear its own costs.

p. 3
02

Whether the withdrawn suit was vexatious or frivolous so as to justify costs against the Respondent

Holding

The suit was genuinely founded and not frivolous or vexatious; the withdrawal resulted from an inability to collect sufficient documentary evidence

Reasoning

The Respondent claimed adverse possession to land he had occupied for over 60 years. The court found the suit genuinely founded, with withdrawal attributable to inability to secure documentary evidence - a technicality rather than an abuse of process. The Respondent, a peasant farmer, also pleaded inability to pay. These circumstances weighed against condemning the Respondent to costs.

p. 3

Legal principles established

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  • Costs follow the event but the award of costs remains at the discretion of the court, which must consider the circumstances of each case
  • Where parties' conduct contributed to the filing and withdrawal of a suit, the court may order each party to bear their own costs notwithstanding the general rule

Court orders

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  1. 1.Each party shall bear its own costs of the suit
  2. 2.The application dated 24th August 2020 is dismissed with no costs

Authorities

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Legislation

  • Constitution of KenyaArticle 159 (and Article 159(2)(c))
  • Civil Procedure ActSections 1A, 1B, 3A & 27
  • Civil Procedure RulesOrder 25 Rule 2(2) & 3; Order 51 Rule 1; Order 11

Cases cited (3)

  • Party of Independent Candidate of Kenya vs Mutula Kilonzo & 2 Others
    [2013] eKLR
  • Morgan Air Cargo Limited v Evrest Enterprises Limited
    [2014] eKLR
  • Levben Products vs Alexander Films (SA) (PTY) Ltd
    1957 (4) SA 225 (SR) at 227
Jurisdiction invoked
Article 159 of the Constitution; Sections 1A, 1B, 3A & 27 of the Civil Procedure Act; Order 25 Rule 2(2) & 3 and Order 51 Rule 1 of the Civil Procedure Rules

Key timeline

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Practical implications

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Frequently asked questions

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Later judgments citing this (1)

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Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

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Cite this brief

Caselaw, "Joseph Kiprono Too v Unilever Tea Kenya Limited [2021] KEELC 416 (KLR)", Case Analysis (2021). Notice of Motion dated 24th August 2020 in Kericho ELC (Originating Summons dated 8th June 2016). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2021/416/eng@2021-12-09

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