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ELCPartially AllowedNot stated in the judgment (Plaint dated 1st August 2018)· [2021] KEELC 2459 (KLR)

Samuel Macharia Kimani v Veronica Wanjiku Macharia [2021] KEELC 2459 (KLR)

Environment and Land Court
26 July 2021
2,276 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan court declared a landowner holds Ruiru land in trust for his relative under a family agreement, but refused to cancel sales to buyers who weren't sued.

What this practically means

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Executive summary

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By a Plaint dated 1st August 2018, the Plaintiff, Samuel Macharia Kimani, sued the Defendant claiming a declaration that the Defendant holds parcel L.R No. Ruiru/Ruiru East Block 2/4947 in trust for him, cancellation of subdivisions and third-party transfers, vacant possession, mesne profits and costs. He pleaded that a family resolution of 8th September 1999 distributed matrimonial properties among the Defendant and his two wives, allocating the Murera property (including the suit parcel) to the Plaintiff, yet the Defendant subdivided and transferred the land to third parties without his knowledge. The Defendant, though duly served, did not enter appearance, and the suit proceeded by formal proof. Justice L. Gacheru held that uncontroverted evidence must still meet the balance-of-probabilities standard, but found the Plaintiff's evidence and the family resolution sufficient to establish that the Defendant held the suit property in trust, creating a constructive trust in the Plaintiff's favour. However, the court declined to cancel the resultant subdivisions and transfers because no official search proved the Defendant remained the registered owner, and third parties not joined to the suit could not be adversely affected without a hearing, contrary to the rules of natural justice; it also relied on Sections 26 and 80(1) of the Land Registration Act on the indefeasibility and rectification of titles. Vacant possession could not issue against non-party third parties, and mesne profits failed for want of specific pleading and proof. Judgment was entered for the Plaintiff on the declaration of trust alone, with costs to the Plaintiff. Judgment was delivered virtually on 26th July 2021 at Thika.

Key legal issues

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01

Whether the Defendant held the suit property in trust for the Plaintiff

Holding

Yes - the Plaintiff proved on a balance of probabilities that a constructive trust arose from the family resolution of 8th September 1999 allocating the Murera property to the Plaintiff, and the Defendant's failure to enter appearance left that evidence uncontroverted.

Reasoning

The Plaintiff relied on a family resolution dated 8th April 1999 distributing matrimonial properties, which allocated the Murera farm to the Plaintiff. The Defendant did not enter appearance despite service, so the averments were uncontroverted. The court cautioned that uncontroverted evidence must still meet the balance of probabilities standard, but found the resolution and testimony sufficient. Applying the law on constructive and resulting trusts, the court held a constructive trust arose in the Plaintiff's favour.

p. 2
02

Whether the resultant subdivisions and transfers to third parties should be cancelled

Holding

No - the Plaintiff failed to prove by official search that the Defendant remained the registered owner of the subdivisions, and third parties not joined to the suit could not be adversely affected without being heard.

Reasoning

Apart from a valuation report, no official search was produced to show the Defendant was still the registered owner of the subdivisions. The Plaintiff acknowledged the subdivisions had been transferred to third parties. Section 26 of the Land Registration Act renders titles prima facie indefeasible, impeachable only for fraud, misrepresentation, illegality, unprocedurality or corruption, and Section 80(1) permits rectification only where fraud or mistake is proved. Third parties deserved an opportunity to be heard before such findings.

p. 3
03

Whether the Plaintiff was entitled to vacant possession and mesne profits

Holding

No - vacant possession could not issue against non-party third parties, and mesne profits, being special damages, were not specifically pleaded and proved.

Reasoning

Since the subdivisions had been transferred to third parties who were not before the court, vacant possession could not be ordered against them. As to mesne profits, the court applied the principle that they are special damages which must be specifically pleaded and proved; the Plaintiff did not specifically plead them and was therefore not entitled to that relief.

p. 3

Legal principles established

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  • Uncontroverted evidence does not automatically prove a claim; the plaintiff must still discharge the burden of proof on a balance of probabilities.
  • A constructive trust arises where a family agreement confers the benefit of registered land on another, making the registered proprietor a trustee for the beneficiary.
  • A court cannot order cancellation of registrations or vacant possession against third parties who are not parties to the suit, as that would offend the rules of natural justice.

Court orders

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  1. 1.Judgment entered in favour of the Plaintiff against the Defendant in terms of prayer No. (a) - declaration that the Defendant holds parcel Ruiru/Ruiru East Block 2/4947 in trust for the Plaintiff
  2. 2.Plaintiff awarded costs of the suit as prayed in prayer No. (e) of the Plaint dated 1st August 2018

Authorities

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Legislation

  • Trustee ActDefinition of 'trust' and 'trustee'
  • Land Registration ActSection 26
  • Land Registration ActSection 80(1)
  • Civil Procedure RulesOrder 21 Rule 1

Cases cited (4)

  • Gichinga Kibutha vs Caroline Nduku
    (2018) eKLR
  • Charles Kangayia v Alfred Musavi & another
    [2020] eKLR
  • Twalib Hatayan Twalib Hatayan & Another vs. Said Saggar Ahmed Al-Heidy & Others
    (2015) eKLR
  • Peter Ndungu Njenga vs. Sophia Watiri Ndungu
    (2000) eKLR
Jurisdiction invoked
Original jurisdiction of the Environment and Land Court over disputes relating to land (Plaint filed under the Civil Procedure Rules)

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, "Samuel Macharia Kimani v Veronica Wanjiku Macharia [2021] KEELC 2459 (KLR)", Case Analysis (2021). Not stated in the judgment (Plaint dated 1st August 2018). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2021/2459/eng@2021-07-26

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