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ELCAllowedNot stated in the judgment· [2021] KEELC 3311 (KLR)

Fast Lane Developers Limited v Peter Gitau Njuguna [2021] KEELC 3311 (KLR)

High Court of Kenya
13 May 2021
1,887 words in judgment
View original judgmentRead on Kenya Law Watch case
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·~8 min to read original · ~4 min brief

The bottom line

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Kenya's High Court allowed a late appeal and froze enforcement of a Ruiru land judgment because the delay was explained and the property needed protecting.

What this practically means

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Executive summary

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By a Notice of Motion dated 24th February 2020 under Order 42 Rule 6 of the Civil Procedure Rules, Sections 1A, 1B, 3A and 79G of the Civil Procedure Act and Article 159(2) of the Constitution, David Njogu sought leave to appeal out of time and stay of execution of the judgment delivered on 16th January 2020 by Hon. C A Otieno-Omondi (SPM) in Ruiru CMEL No.46 of 2019, plus costs in the cause. He explained that an advocate he instructed to file the appeal failed to do so without informing him, and that a mistake of counsel should not be visited on a client. Peter Gitau Njuguna opposed, contending there was no explanation for the delay, no demonstrated loss and no arguable appeal. The court framed three issues: leave to appeal out of time, stay pending appeal, and whether the draft memorandum of appeal was arguable. On the first, relying on the Salat decision on the unfettered discretion to extend time, it found the applicant's instruction of new advocates five days after judgment a reasonable explanation and granted leave. On stay, applying Order 42 rule 6 and the Kenya Shell principle that substantial loss is the cornerstone of stay jurisdiction, it noted the permanent injunction issued despite a sale agreement of 20th November 2008, found no inordinate delay, and held the subject property LR RUIRU EAST BLOCK 1/6329 needed preservation. The appeal was found arguable. The application was allowed, with costs in the cause and a 45-day deadline to file the substantive and record of appeal, failing which stay lapses. One inconsistency exists: the disposition recites allowance of prayers 1 and 3, although stay (prayer 2) was also granted.

Key legal issues

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01

Leave to appeal out of time

Holding

Leave was granted because the applicant instructed another advocate to file the appeal within 5 days of judgment and the delay was adequately explained.

Reasoning

Section 79G of the Civil Procedure Act requires an appeal from a subordinate court to be filed within 30 days unless the appellant shows good and sufficient cause. The applicant wrote to MS R.M Mburu & Associates on 22nd January 2020, five days after judgment, instructing them to file an appeal. The court found the correspondence bore evidence of service and that the applicant's efforts and explanation were reasonable, warranting an extension of time.

p. 2
02

Stay of execution pending appeal

Holding

Stay was granted because the applicant demonstrated potential substantial loss given the existence of a sale agreement dated 20th November 2008, no inordinate delay, and the need to preserve the subject property.

Reasoning

Order 42 rule 6(2) requires satisfaction that substantial loss may result, that the application was made without unreasonable delay, and security for due performance. The trial court had issued a permanent injunction over LR RUIRU EAST BLOCK 1/1481 despite a sale agreement of 20th November 2008; the court found the applicant may suffer substantial loss. The memorandum of appeal and stay application were filed on 25th February 2020, so there was no inordinate delay. Preserving LR RUIRU EAST BLOCK 1/6329 was necessary lest it conclusively pass to the Respondent.

p. 2
03

Whether the draft Memorandum of Appeal is arguable

Holding

The intended appeal was found to raise arguable grounds, including the grant of a permanent injunction where a sale agreement existed and the trial court's overlooking of relevant factors.

Reasoning

Without delving into the merits, the court examined the draft memorandum of appeal and noted it challenged the issuance of a permanent injunction despite a sale agreement dated 20th November 2008 in favour of the Respondent, and alleged that the trial court overlooked relevant factors. This was sufficient to show arguable grounds meriting an opportunity to address the court on merit.

p. 3

Legal principles established

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  • The discretion to extend time for filing an appeal is unfettered, but the applicant must explain the reason for the delay to the satisfaction of the court.
  • Substantial loss is the corner stone of the jurisdiction to grant stay of execution pending appeal.
  • The purpose of stay of execution pending appeal is to preserve the subject matter in dispute.

Court orders

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  1. 1.Leave granted to the Applicant to file an Appeal out of time
  2. 2.Stay of Execution of the Judgment delivered in Ruiru CMEL No.46 of 2019 granted pending hearing and determination of the intended appeal
  3. 3.Costs of the application to be in the cause
  4. 4.Appellant directed to file the Substantive Appeal and Record of Appeal within 45 days, failing which the Stay Orders to lapse automatically unless extended by order of the Court

Authorities

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Legislation

  • Civil Procedure ActSections 1A, 1B, 3A, 79G
  • Civil Procedure Rules, 2010Order 42 Rule 6(1) and (2)
  • Civil Procedure Rules, 2010Order 21 rule 1
  • Constitution of KenyaArticle 159(2)

Cases cited (3)

  • Nicholas Kiptoo Arap Korir Salat vs The Independent Electoral And Boundaries Commission & 7 Others
    [2014] eKLR
  • Kenya Shell Limited v Benjamin Karuga Kibiru & another
    [1986] eKLR
  • Consolidated Marine vs Nampijja & Another, Civil App.No.93 of 1989 (Nairobi)
    Civil App.No.93 of 1989 (Nairobi)
On appeal from
Ruiru Magistrates' Court (CMEL No. 46 of 2019)
Ruiru CMEL No.46 of 2019
Jurisdiction invoked
Sections 1A, 1B, 3A and 79G of the Civil Procedure Act; Order 42 Rule 6 of the Civil Procedure Rules; Article 159(2) of the Constitution

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, "Fast Lane Developers Limited v Peter Gitau Njuguna [2021] KEELC 3311 (KLR)", Case Analysis (2021). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2021/3311/eng@2021-05-13

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