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ELCDismissed· [2021] KEELC 2894 (KLR)

Silvester K. Kaitany v Nyayo Tea Zone Development Corporation & another; National Land Commission & another (Interested Parties) [2021] KEELC 2894 (KLR)

Environment and Land Court
3 June 2021
3,645 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 refused a defendant's late attempt to add an adverse possession counterclaim mid-trial, because it was late, inconsistent, and unfair to the plaintiff.

What this practically means

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Executive summary

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This ruling of the Environment and Land Court at Eldoret (M. A. Odeny J) determined an application dated 12th April 2021 by the 1st defendant seeking leave to re-amend its Amended Statement of Defence of 7th February 2019 so as to include a counterclaim, and to have the draft Re-Amended Defence and Counterclaim deemed duly filed upon payment of court fees. The application was canvassed by written submissions. The applicant, through counsel Mr Mubea, argued that the proposed counterclaim raised serious legal issues concerning the legality of its occupation of the suit property under Gazette Notice No. 265 of 1986 as modified by the Nyayo Tea Zones Development Corporation Order, and relied on authorities holding that amendments may be sought at any stage and that a fair hearing under Articles 25(c), 48 and 50 of the Constitution favours liberal amendment. The plaintiff/respondent, through Mr Samora, opposed the application as late, prejudicial, and introducing a fresh cause of action. The court applied the principles in Ochieng v First National Bank of Chicago and Central Kenya Ltd v Trust Bank, noting this was the second amendment sought, that the matter was part-heard with the plaintiff having testified, and that the information supporting the counterclaim had always been within the defendant's knowledge. The court further held that a counterclaim in adverse possession was inconsistent with the defendant's pleaded case of fraudulent acquisition of title, relying on Haro Yonda Juaje. The application was dismissed with costs to the plaintiff, and the matter was listed for further hearing.

Key legal issues

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01

Whether leave should be granted to re-amend the defence to include a counterclaim after the plaintiff has testified

Holding

Application dismissed; the proposed amendment would introduce a new cause of action (adverse possession) late in the trial and prejudice the plaintiff

Reasoning

The court applied Order 8 Rule 3 and settled principles that amendments be timeously applied, in good faith, and without prejudice or new inconsistent causes of action. The defendant had already amended its defence once, the information supporting the counterclaim was within its own knowledge from the outset, and the plaintiff had already testified. Allowing the amendment would let the defendant fill gaps after seeing the plaintiff's case.

p. 4
02

Whether a counterclaim for adverse possession is compatible with the pleaded defence of fraudulent acquisition of title

Holding

No; allowing such a counterclaim would be an exercise in futility since adverse possession requires acknowledgment of the registered owner's title

Reasoning

The 1st defendant's amended defence already pleaded that the plaintiff fraudulently acquired title. Relying on Haro Yonda Juaje, a claimant cannot aver fraudulent acquisition of the registered proprietor's title and simultaneously claim the same land under adverse possession; the proper remedy would be rectification. The proposed counterclaim was therefore internally inconsistent and academic.

p. 5
03

Whether the court should evaluate the merits of the proposed amendment

Holding

The court should not ordinarily evaluate the merits, but where the amendment is glaring and would change the substratum of the case by introducing new causes of action, the court may address it

Reasoning

The court acknowledged Halsbury's and Sajjan Kumar that on an interlocutory application the court should rarely evaluate the strength of the proposed case. However, it held that when the amendment would change the substratum of the case by introducing new causes of action, the court should not shy away from dealing with such issues.

p. 5

Legal principles established

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  • Amendments should freely be allowed so long as they are brought timely, in good faith, will not prejudice the opposing party and do not introduce new causes of action
  • A party cannot claim adverse possession while simultaneously averring that the registered owner's title was fraudulently acquired
  • Where a matter has been partly heard, the court ought to be slow in allowing an amendment that introduces a new cause of action, as it will prejudice the party that has already testified

Court orders

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  1. 1.The application dated 12th April 2021 is dismissed
  2. 2.Costs of the application to the plaintiff
  3. 3.Matter to be listed for further hearing

Authorities

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Legislation

  • Civil Procedure Rules, 2010Order 8 Rule 3(1)
  • Constitution of Kenya, 2010Articles 25(c), 48 and 50
  • Civil Procedure ActSection 100
  • Registered Land Act (repealed)Section 143
  • Limitation ActsNot specified

Cases cited (17)

  • Eunice Chepkorir Soi v Bornet Water Company Ltd
    [2017] eKLR
  • Consolidated Bank of Kenya Ltd & Another
    [2016] eKLR
  • Beatrice Gikunda v CFC Life Assurance Limited
    [2002] eKLR
  • Elijah Kipng'eno arap Bii vs Kenya Commercial Bank Ltd
    [2013] eKLR
  • Joseph Ochieng & 2 others vs First National Bank of Chicago
    Civil Appeal No. 149 of 1991
  • Bosire Ogero v Royal Media Services
    [2015] eKLR
  • David Jonathan Crantham & Another v National Social Security Fund
    [2007] eKLR
  • Kassam v Bank of Baroda
    [2002] 1 KLR 294
  • Lawrence Owino Omondi v Kenneth Inea Muyera
    (2017) eKLR
  • John Mulwa Kangaatu v Pan African Insurance Co. Ltd
    (2015) eKLR
  • Ochieng and Others v First National Bank of Chicago
    Civil Appeal Number 147 of 1991
  • Central Kenya Ltd v Trust Bank Ltd and 5 others
    (2000) eKLR
  • Joseph Tireiti v Jacob Kipsugot Arap Lagate & another
    [2013] eKLR
  • Haro Yonda Juaje v Sadaka Dzengo Mbauro & Kenya Commercial Bank
    (2014) eKLR
  • Sajjan Kumar v Ram Kishan
    (2005) 13 SCC 89
  • Abdul Wahid Al Abubakar v Osman Abubakar t/a Osman Woodworks & 2 others
    [2015] eKLR
  • Rubina Ahmed & 3 others v Guardian Bank Ltd (Sued in its capacity as a successor in Title to First National Finance Bank Ltd)
    [2019] eKLR
Jurisdiction invoked
Order 8 Rule 3(1) 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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Later judgments citing this (3)

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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, "Silvester K. Kaitany v Nyayo Tea Zone Development Corporation & another; National Land Commission & another (Interested Parties) [2021] KEELC 2894 (KLR)", Case Analysis (2021). . Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2021/2894/eng@2021-06-03

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