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ELCPartially AllowedEldoret ELC (formerly HCCC) suit re Eldoret Municipality Block 15/2309· [2021] KEELC 2900 (KLR)

Rural Housing Estate v Mohamed Ghani; Administrator of the Estate of Ahmed Malakwen arap Sisiwa (Third Party) [2021] KEELC 2900 (KLR)

Environment and Land Court
16 June 2021
6,046 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~24 min to read original · ~4 min brief

The bottom line

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What this practically means

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Executive summary

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The plaintiff, Rural Housing Estates Ltd, sued for eviction from Eldoret Municipality Block 15/2309 and general damages for trespass, claiming it bought 107 acres from the late Malakwen Arap Sisiwa under an agreement dated 7th March 1980 and held a certificate of lease issued in 2007. The defendant, Mohammed Ghani, claimed he purchased 20 acres (including Malakwen's homestead) under an exchange agreement dated 23rd July 1994, took possession, and lodged a caution; he counterclaimed for cancellation of the plaintiff's title. The third party, administrator of Malakwen's estate, supported the defendant, asserting the plaintiff fraudulently acquired the retained 22 acres. A Deputy Chief Registrar from the Ministry of Lands testified that no conversion exercise was recorded, the original title remained in Malakwen's name, the plaintiff's titles were registered un-procedurally and the plaintiff's certificate of lease was a forgery, and the government caveat of 7th September 1978 was never annulled. The court found the plaintiff had capacity to sue despite the late filing of a board resolution. On the merits, it held Malakwen legitimately acquired proprietary interest and his 2001 allotment and earlier title took priority; the subsequent allotment to the plaintiff was invalid and no lawful cancellation of Malakwen's allotment was proved. Both the plaintiff (107 acres) and the defendant (20 acres) were found to hold interests in the land, but the plaintiff, lacking lawful proprietary interest in the suit parcel, could not obtain eviction or trespass damages. The plaintiff's suit was dismissed with costs to the defendant and third party, and the defendant's counterclaim was allowed as prayed with costs.

Key legal issues

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01

Capacity to sue

Holding

The plaintiff had capacity; the board resolution produced in 2020 cured any defect as an action commenced without a resolution can be ratified

Reasoning

The defendant argued no board resolution was filed with the plaint. A resolution authorising the suit, passed on 2nd March 2006, was later produced in court. Relying on Leo Investments and Assia Pharmaceuticals, the court held absence of a resolution with the plaint is not fatal and proceedings started without proper authority may be ratified.

p. 6
02

Whether the late Malakwen legitimately acquired proprietary interest in LR No. 775/1 and LR No. 776/4/1

Holding

Yes; Malakwen had good title, and the earlier title/allotment in his name prevails over the plaintiff's later, procedurally irregular title

Reasoning

The Deputy Chief Registrar traced Malakwen's acquisition from 1964, the SFT indenture and mortgage, and the government caveat from compulsory acquisition which was never annulled. No conversion exercise was recorded; titles in the plaintiff's name were registered un-procedurally and the plaintiff's certificate of lease was a forgery. The 2001 allotment to Malakwen was first in time and the plaintiff produced no evidence of its lawful cancellation.

p. 7
03

Whether interests were transferred to the plaintiff and the defendant

Holding

Yes; the plaintiff has entitlements to 107 acres and the defendant is entitled to 20 acres under the 1994 exchange agreement with Malakwen

Reasoning

The 1980 agreement sold 107 of 129 acres to the plaintiff, with 22 acres (including Malakwen's homestead) retained by him and subject to possible re-transfer. The defendant exchanged vehicles and machines for 20 acres containing the homestead and took possession in 1994. The third party's witnesses confirmed both transactions.

p. 8
04

Eviction and damages for trespass

Holding

The plaintiff, having no proprietary interest, is not entitled to eviction or trespass damages; its suit was dismissed and the counterclaim allowed

Reasoning

Trespass is an unlawful act against the property of another. Having found the plaintiff was not the lawful owner, the court held the remedy of trespass unavailable. The plaintiff's title having been acquired un-procedurally and found to be a forgery, both eviction and damages failed and the defendant's counterclaim succeeded as prayed.

p. 8

Legal principles established

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  • Where two titles are issued over the same parcel, the first in time prevails
  • A subsequent allotment letter over land already allotted and whose terms the allottee complied with is invalid
  • Failure to annex a board resolution to a plaint does not invalidate the suit; authority may be ratified

Court orders

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  1. 1.The plaintiff's suit is dismissed with costs to the defendant and the third party
  2. 2.The defendant's counterclaim is allowed as prayed with costs

Authorities

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Legislation

  • Civil Procedure ActSection 7
  • Constitution of Kenya, 2010Article 40
  • Trespass Act (Cap 294)Section 3(1)
  • Land Registration ActSection 23(1)

Cases cited (15)

  • Rural Housing Estates Limited Vs. Edward Koech and three others
    Eldoret HCCC No. 124 of 1998
  • Philip Ayaya Aluchio Vs. Crispinus Ngayo
    [2014] eKLR
  • Nakuru Industries Limited v S S Mehta & Sons
    [2016] eKLR
  • Willesden Investments Limited vs. Kenya Hotel Properties Limited
    NBI HCCC No. 367 of 2000
  • LEO INVESTMENTS LTD V TRIDENT INSURANCE COMPANY LTD
    (2014) eKLR
  • Republic vs. Registrar General and 13 Others Misc. Application No. 67 of 2005
    [2005] eKLR
  • Assia Pharmaceuticals vs. Nairobi Veterinary Centre Ltd
    Nairobi (Milimani) HCCC No. 391 of 2000
  • PHILEMON L. WAMBIA V GAITANO LUSITSA MUKOFU & 2 OTHERS
    [2019] eKLR
  • Solomon Omwega Omache & Another -V- Zackery O. Ayieko & 2 Others
    (2016) eKLR
  • BENJA PROPERTIES LIMITED -V- SYEDNA MOHAMMED BURHANNUDIN SAHED & 4 OTHERS
    [2015] eKLR
  • Gitwany Investment Limited -v- Tajmal Limited & 2 others
    (2006) eKLR
  • Wreck Motors Enterprises vs. Commissioner of Lands
    C.A. No. 71/1997 (unreported)
  • Faraj Maharus vs. J.B. Martin Glass Industries and 3 others
    C.A 130/2003 (unreported)
  • AHMED IBRAHIM SULEIMAN AND ANOTHER -V- NOOR KHAMISI SURUR
    (2013) eKLR
  • Hostler - VS - Green Park Development Co.
    986 S.W 2d 500 (Mo. App. 1999)
Jurisdiction invoked
Original civil suit (land dispute) under the plaintiff's plaint dated 1st March 2006

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, "Rural Housing Estate v Mohamed Ghani; Administrator of the Estate of Ahmed Malakwen arap Sisiwa (Third Party) [2021] KEELC 2900 (KLR)", Case Analysis (2021). Eldoret ELC (formerly HCCC) suit re Eldoret Municipality Block 15/2309. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2021/2900/eng@2021-06-16

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