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ELCPartially AllowedELC Appeal No. 45 of 2019· [2021] KEELC 3778 (KLR)

Halfan Mkiwa v Philip Nyinguro [2021] KEELC 3778 (KLR)

Environment and Land Court
25 February 2021
2,403 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 ruled that landlords can claim rent in lieu of notice, repairs exceeding the deposit, and rent for the final month when a tenant leaves.

What this practically means

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Executive summary

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This was a first appeal to the Environment and Land Court at Nairobi against the judgment of D.A Ocharo, Senior Resident Magistrate, delivered on 14/11/2017 in CMCC No. 1103 of 2014, dismissing the Appellant landlord's claim of Kshs. 153,205 comprising one month's rent in lieu of notice, repair and repainting costs, and rent for August 2013 against his former tenant. The parties were in a tenant/landlord relationship over house number 36 on Nairobi Block 72/654/36 Maasai Estate, Lang'ata from 2003 to 2013. In February 2013 the Appellant proposed a rent increase to Kshs. 40,000 with an option to vacate; the Respondent gave two months' notice to vacate, contested the increment before the Rent Restriction Tribunal which issued conservatory orders, and eventually moved out on 02/08/2013. The Appellant challenged the dismissal on grounds including that the magistrate decided an unpleaded privity of contract issue, wrongly found no notice was necessary, and made unproven findings on the deposit. The court found the privity issue arose from the Respondent's own testimony, not suo moto; that a fresh notice should have been issued since the earlier notices had been overtaken by the Tribunal's orders; that there was no agreement that the deposit would cover repairs and painting, and the Appellant proved repair costs of Kshs. 106,205 on a balance of probability; and that August 2013 rent had fallen due under the periodic tenancy created by Section 57(2) of the Land Act. The appeal substantially succeeded. The court awarded the Appellant a month's rent in lieu of notice, repair costs of Kshs. 38,205 (repair costs less the Kshs. 68,000 deposit), and August 2013 rent, less the deposit. The Respondent was ordered to bear the costs of the appeal and the suit.

Key legal issues

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01

Privity of contract as a basis of the trial court's decision

Holding

The Learned Magistrate only mentioned privity of contract but did not base his decision on it; the issue was raised by the Respondent in evidence, not suo moto by the court

Reasoning

The court reviewed the record and found the Respondent himself testified that the initial lease was with the Appellant's mother, Emily Mbasho, who orally directed him to pay rent to the Appellant in 2007. The issue therefore arose from the evidence and pleadings, not from the court's own motion, so the Appellant's complaint failed.

p. 2
02

Necessity of a fresh notice to vacate

Holding

The Respondent ought to have issued a fresh notice since the earlier notices had lapsed upon the grant of the Tribunal's conservatory orders

Reasoning

The trial magistrate held no notice was needed because the Appellant had issued one and the conservatory orders had lapsed. The ELC disagreed in part, holding that once the Tribunal's orders preserved the status quo, the January and February 2013 notices were overtaken by events and a fresh notice was required. Nevertheless the Appellant remained entitled to one month's rent in lieu of notice.

p. 2
03

Use of the rent deposit for repairs and painting

Holding

There was no agreement that the deposit would cover repairs and painting; the Appellant proved repair costs of Kshs. 106,205 and was entitled to the excess over the deposit

Reasoning

The Respondent's advocate's letter of 19/08/2013 showed he was not interested in the deposit and suggested it go towards repairs, but without inspecting the premises or obtaining a repair quote he could not have determined the deposit sufficient for both repairs and painting. The receipts for Kshs. 106,205 were unchallenged, so the deposit of Kshs. 68,000 was off-set and the balance awarded.

p. 2
04

Rent for August 2013

Holding

The rent for August 2013 had fallen due when the Respondent vacated and the Appellant was entitled to it

Reasoning

The tenancy was periodic under Section 57(2) of the Land Act. The Respondent vacated on 02/08/2013 and conceded he handed over the keys after 19/8/2013. Since the tenancy was month to month, the August rent had fallen due and was payable by the Respondent.

p. 3

Legal principles established

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  • Where there is no written lease agreement and rent is paid monthly, the tenancy is periodic under Section 57(2) of the Land Act
  • Notices that lapse or are overtaken by events require a fresh notice of termination
  • Rent deposits are security refundable provided the tenant settles outstanding bills and leaves the premises in the condition received
  • A party must issue a fresh notice where prior notices have been overtaken by events

Court orders

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  1. 1.Appeal allowed with the Appellant entitled to a month's rent in lieu of notice, costs of repairs and repainting, and rent for August 2013, less the Respondent's deposit of Kshs. 68,000
  2. 2.Appellant awarded repair costs of Kshs. 38,205 being the difference between repair costs of Kshs. 106,205 and the Kshs. 68,000 deposit
  3. 3.Respondent to bear the costs of the appeal and of the suit in the Magistrates Court

Authorities

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Legislation

  • Land ActSection 57(2)
  • Evidence ActSections 109 and 112
  • Civil Procedure RulesOrder 42 Rule 13(4)

Cases cited (1)

  • Muslims For Human Rights (MUHURI) & 2 Others v Attorney General & 2 Others
    High Court Petition No. 7 of 2011
On appeal from
Chief Magistrate's Court at Nairobi
CMCC No. 1103 of 2014
Jurisdiction invoked
First appeal under the Civil Procedure Act and Rules (Environment and Land Court Act); appeal from the Chief Magistrate's Court

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, "Halfan Mkiwa v Philip Nyinguro [2021] KEELC 3778 (KLR)", Case Analysis (2021). ELC Appeal No. 45 of 2019. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2021/3778/eng@2021-02-25

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