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ELCDismissedUnstated (arising from judgment delivered 28/3/2019)· [2021] KEELC 2707 (KLR)

Duncan Githiga Mwangi v Kanu Maendeleo ya Wanawake Muranga Branch & 4 others [2021] KEELC 2707 (KLR)

Environment and Land Court
24 June 2021
2,489 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Kenya's Environment and Land Court dismissed a stay application filed two years late, confirming that delay, unproven substantial loss, and no security defeat appeals.

What this practically means

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Executive summary

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The Applicants, dissatisfied with a judgment of the Environment and Land Court at Murang'a delivered on 28/3/2019 ordering them to refund Kshs 5.6 million with interest and costs to the Plaintiff, moved the Court by Notice of Motion dated 16/4/2021 under Order 42 Rule 1 of the Civil Procedure Rules seeking stay of execution pending Civil Appeal No. 3 of 2021 at Nyeri. The Respondent opposed, contending the application was made inordinately late, was malafides, and was designed to deny him the fruits of a judgment in a suit arising from an illegal sale of land, noting he had borrowed the funds from KCB and faced recovery of over Kshs 10 million plus taxed costs of Kshs 437,040. The court set out the three conditions under Order 42 Rule 6: no unreasonable delay, substantial loss, and security. It found the application filed two years and 9 days after judgment with no explanation, observing that delay defeats equity. On substantial loss, the court held that in a money decree the legal burden of proving the Respondent's inability to refund lies on the Applicant and does not shift, and no cogent evidence was tendered. The Applicants also failed to show the Respondent was a man of straw or that the Appeal would be rendered nugatory, and the court declined to assess the Appeal's prospects, stating it would be sitting on appeal over its own judgment. The application was dismissed with costs to the Applicants.

Key legal issues

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01

Reasonable delay in filing the stay application

Holding

The application filed two years and 9 days after judgment was inordinate and unexplained, disqualifying the equitable remedy of stay

Reasoning

Judgment was delivered on 28/3/2019 and the application filed on 19/4/2021, over two years later. The Applicants offered no explanation for the delay. As stay of execution is an equitable relief, delay defeats equity, and without a satisfactory reason the court has no basis to exercise its discretion in the Applicant's favour.

p. 2
02

Substantial loss in a money decree

Holding

Applicants failed to adduce cogent evidence that the Respondent would be unable to refund the decretal sum if the Appeal succeeded

Reasoning

In a money decree, substantial loss lies in the Respondent's inability to repay. The legal burden of proving this inability rests on the Applicant and does not shift. The Applicants merely asserted the Respondent was unlikely to refund without furnishing prima facie evidence of his financial limitation, so the evidential burden never shifted to the Respondent.

p. 3
03

Whether the Appeal would be rendered nugatory

Holding

Applicants failed to show the Appeal would be nugatory or that the Respondent was a man of straw

Reasoning

Whether an Appeal is rendered nugatory depends on what is to be stayed. This is a money decree arising from an illegal sale of land; the Applicants contended the Respondent could not refund but produced no evidence of his insolvency. The Respondent in fact suffered grave loss, having lost land and continued to face financial hardship.

p. 4
04

Prospects of success of the Appeal

Holding

The court could not determine the Appeal's chances of success as that would amount to sitting on appeal over its own judgment

Reasoning

The Applicants attached a memorandum of appeal filed on 12/4/2021, two years after the Notice of Appeal. The court declined to assess merits since evaluating prospects of success of an appeal against its own judgment is impermissible; the relevant test is whether the Appeal would be rendered nugatory.

p. 4

Legal principles established

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  • Stay of execution under Order 42 Rule 6 requires absence of unreasonable delay, demonstration of substantial loss, and provision of security
  • Where a money decree is involved, the burden of proving the Respondent's inability to refund the decretal sum lies with the Applicant and does not shift

Court orders

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  1. 1.Application for stay of execution dismissed for failure to meet the requisite principles
  2. 2.Applicants to bear the costs of the application
Jurisdiction invoked
Order 42 Rule 1 and Order 42 Rule 6 of the Civil Procedure Rules, 2010

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, "Duncan Githiga Mwangi v Kanu Maendeleo ya Wanawake Muranga Branch & 4 others [2021] KEELC 2707 (KLR)", Case Analysis (2021). Unstated (arising from judgment delivered 28/3/2019). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2021/2707/eng@2021-06-24

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