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ELCPartially AllowedOriginating Summons dated 26th September 2011 (amended 21st October 2021)· [2022] KEELC 431 (KLR)

Mariam Njeri Njoroge & another v June Wanjiku Ndegwa & another [2022] KEELC 431 (KLR)

Environment and Land Court
21 April 2022
3,081 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 cancelled a wrongly-issued land title because it was registered by mistake, but refused to find the Land Registrar fraudulent.

What this practically means

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Executive summary

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The 1st Plaintiff purchased the suit property, Kikuyu/Kikuyu Block 1/696, in 1977 from Kikuyu Division Farmers and Marketing Company Limited and remained in occupation. On 12th May 2010 she sold it to the 2nd Plaintiff for Ksh 1,700,000, with the company executing the transfer. On presentation for registration, the property was found registered in the name of the 1st Defendant, who had never occupied or claimed the land. By an originating summons the Plaintiffs sought declarations that the registration was fraudulent, cancellation of the title, and rectification of the register in favour of the 2nd Plaintiff. The 1st Defendant never filed a response or participated in the hearing. The 2nd Defendant, the Chief Land Registrar, denied fraud, contending it acted on documents availed to it and was protected under section 14(5) of the Land Registration Act. The court framed two issues: whether the Plaintiffs made out a case, and costs. It found the 1st Defendant was registered procedurally but by mistake and, invoking section 80(1) of the Land Registration Act and the authority of Mary Ruguru Njoroge, ordered cancellation of her title and rectification of the register in favour of the 2nd Plaintiff. However, applying the elevated standard of proof for fraud (Central Bank of Kenya v Trust Bank; Vijay Morjaria; Kinyanjui Kamau), the court held the Plaintiffs had not proved fraud against the 2nd Defendant; the registration was possibly unprocedural but not fraudulent. Costs were awarded to the Plaintiffs against the 1st Defendant under section 27 of the Civil Procedure Act.

Key legal issues

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01

Whether the Plaintiffs were entitled to cancellation of the 1st Defendant's title and rectification of the register

Holding

Yes. The 1st Defendant was registered by mistake, never took possession, and Section 80(1) of the Land Registration Act empowers rectification on proof of fraud or mistake; the 2nd Plaintiff is the rightful owner.

Reasoning

The court found the 1st Plaintiff bought the land in 1977 from Kikuyu Division Farmers and Marketing Company Limited, sold it to the 2nd Plaintiff in 2010 for Ksh 1,700,000, and remained in occupation. The 1st Defendant was registered procedurally but by mistake, never took possession nor claimed interest. Section 80(1) permits rectification for fraud or mistake, and Section 80(2) does not protect a proprietor who neither knew of nor contributed to the mistake. The court adopted the reasoning in Mary Ruguru Njoroge and ordered cancellation and rectification.

p. 3
02

Whether fraud was proved against the 2nd Defendant

Holding

No. Fraud must be distinctly alleged and distinctly proved to a standard higher than balance of probabilities; the evidence showed at most an unprocedural or mistaken registration, not fraud.

Reasoning

Applying Section 107 of the Evidence Act and authorities including Central Bank of Kenya v Trust Bank, Vijay Morjaria and Kinyanjui Kamau v George Kamau Njoroge, the court held the evidential standard for fraud is elevated. The Registrar acted on documents availed to it and without notice of irregularity, invoking section 14(5) of the Land Registration Act. The court could not merely infer fraud from the facts and declined to find the 2nd Defendant fraudulent, though the 2nd Plaintiff remained entitled to rectification based on mistake.

p. 4
03

Costs

Holding

Costs follow the event under Section 27 of the Civil Procedure Act; the Plaintiffs are entitled to costs, payable by the 1st Defendant.

Reasoning

Section 27 of the Civil Procedure Act gives the court discretion over costs; costs ordinarily follow the event absent special circumstances. None were presented, and since the suit succeeded against the 1st Defendant, who never filed a response or participated, the Plaintiffs' costs were directed to be met by the 1st Defendant.

p. 4

Legal principles established

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  • The court may order rectification of the register where a registration was obtained, made or omitted by fraud or mistake.
  • Fraud must be specifically pleaded and distinctly proved, and cannot be inferred from facts consistent with innocence.

Court orders

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  1. 1.That the title of the 1st Defendant, JUNE WANJIKU NDEGWA, to the land parcel KIKUYU/KIKUYU/BLOCK 1/696, was improperly registered and the same is hereby cancelled.
  2. 2.An order directing the Chief Land Registrar to rectify the register to reflect the name of DAVID KINYANJUI WAINAINA as the registered owner of Land Title No. KIKUYU/KIKUYU BLOCK 1/696.
  3. 3.The 1st Defendant to bear the costs of this suit.

Authorities

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Legislation

  • Land Registration ActSection 80(1)
  • Land Registration ActSection 80(2)
  • Land Registration ActSection 14(5)
  • Evidence ActSection 107
  • Civil Procedure ActSection 27

Cases cited (8)

  • Mutiria Karumbai Macaw v James Njagi Makembo & 3 Others
    [2018] eKLR
  • Urmila w/o Mahendra Shah v Barclays Bank International Limited & Another
    [1979]
  • Vijay Morjaria v Nansingh Madhusingh Darbar & Another
    [2000] eKLR (Civil Appeal No. 106 of 2000)
  • Central Bank of Kenya Limited v Trust Bank Limited & 4 Others
    [1996] Civil Appeal No. 45 of 1996
  • Mary Ruguru Njoroge –Vs- Samuel Gachumu Mbugua & Others
    [2014] eKLR
  • Paragon Finance PLC v D B Thakerar & Co
    1999 1 ALL ER 400
  • Kinyanjui Kamau v George Kamau Njoroge
    [2015] eKLR
  • Ndolo v Ndolo
    (2008) 1 KLR (G&F) 742
Jurisdiction invoked
Section 80 of the Land Registration Act No. 3 of 2012 (original jurisdiction to order rectification of the register)

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, "Mariam Njeri Njoroge & another v June Wanjiku Ndegwa & another [2022] KEELC 431 (KLR)", Case Analysis (2022). Originating Summons dated 26th September 2011 (amended 21st October 2021). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2022/431/eng@2022-04-21

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