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ELCDismissed· [2022] KEELC 1395 (KLR)

Mugumoini Farmers Co. Ltd v Inshwil Builders Engineering Ltd; Ephraim Waithaka Ruitha & another(Interested Parties) [2022] KEELC 1395 (KLR)

Environment and Land Court
21 February 2022
3,028 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~12 min to read original · ~4 min brief

The bottom line

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A Murang'a court refused a company's last-minute request to change its defence after the plaintiff's case had closed, calling the timing bad faith.

What this practically means

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Executive summary

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The Defendant/Applicant, by Notice of Motion dated 11th November 2021, sought leave to amend its Statement of Defence filed on 16th January 2020, with costs in the cause. The application was supported by the affidavit of its director, Patrick Gukura Muraya, who asserted the defence was insufficient and the amendments would raise the real issues in controversy without prejudice to the Plaintiff. The Plaintiff/Respondent opposed, noting the matter was certified for hearing on 14th December 2021, that five witnesses had testified and its case closed, that the documents underlying the amendments had been served in 2018, and that the application was an abuse of process designed to derail hearing. The Interested Parties supported the application, contending prejudice could be cured by costs. The court framed two issues: whether leave to amend should be granted, and costs. Applying Order 8 Rules 3 and 5 of the Civil Procedure Rules, Article 50 of the Constitution, and the principles in Ochieng v First National Bank of Chicago, the court held that although amendments may be sought at any stage, the applicant had to show desertion of discretion. The matters to be introduced were within the Defendant's knowledge since 2018; the application was filed only on the hearing date and after the Plaintiff closed its case, indicating bad faith and an intent to stop the hearing. Following Abdul Wahid Al Abubakar, the court found the amendments would reopen pleadings, delay trial, and cause grave prejudice, one Plaintiff witness having died. The application dated 11th November 2021 was dismissed entirely with costs to the Plaintiff/Respondent, and the main suit was directed to proceed for hearing of the Defence case.

Key legal issues

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01

Whether leave to amend a defence should be granted after the Plaintiff's case has closed

Holding

Leave refused; the application was filed late and in bad faith and the amendments would reopen pleadings, delay trial and prejudice the Plaintiff

Reasoning

The court applied Order 8 Rules 3 and 5 and the Ochieng principles: timeliness, good faith, nature of amendments, no new or inconsistent cause of action, and no injustice. The matters sought to be introduced were within the Defendant's knowledge since filing; the application was filed only on the hearing date; five witnesses had testified and the Plaintiff had closed its case, with one witness deceased. Allowing amendment would reopen pleadings and occasion injustice.

p. 4
02

Who should pay costs of the application

Holding

Costs awarded to the Plaintiff/Respondent as costs follow the event

Reasoning

Under Section 27 of the Civil Procedure Act, costs follow the event unless the court has reason to depart from that rule. The application having been dismissed, there was no reason to deny the successful Respondent its costs.

p. 4

Legal principles established

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  • Where a matter has been partly heard, the court ought to be slow in allowing an amendment to a pleading since it is likely to be prejudicial, especially where the opposite party has already tendered evidence
  • The purpose of amendment of pleadings is to facilitate determination of the real question in controversy, but amendment will not be allowed at a late stage of trial if intended to advance a new ground of defence
  • Costs follow the event unless the court exercises its discretion otherwise

Court orders

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  1. 1.The Defendant's/Applicant's application dated 11th November 2021 is dismissed entirely
  2. 2.Costs of the application awarded to the Plaintiff/Respondent
  3. 3.The main suit shall proceed for hearing of the Defence case

Authorities

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Legislation

  • Civil Procedure RulesOrder 8 Rule 3
  • Civil Procedure RulesOrder 8 Rule 5(1)
  • Civil Procedure RulesOrder 1 rules 9 and 10; Order 24 rules 3, 4, 5 and 6
  • Civil Procedure ActSection 27
  • Constitution of KenyaArticle 50

Cases cited (9)

  • Eastern Bakery vs Castelino
    {1958} EA 461
  • St Patrick's Hill School Limited vs Bank of Africa Limited
    (2018) eKLR
  • Abdul Wahid Al Abubakar vs Osman Abubakar t/a Osman Woodworks & 2 Others
    (2015) eKLR
  • Eunice Chepkorir Soi vs Bomet Water Company Limited
    (2017) eKLR
  • Institute of Social Accountability & Another vs Parliament of Kenya & 3 Others
    (2014) KLR
  • Ochieng and Others Vs First National Bank of Chicago
    Civil Appeal No 147 of 1991
  • Joseph Ochieng & 2 others trading as Aquiline Agencies Vs First National Bank of Chicago
    [1995] eKLR
  • LAKHAMSHI KHIMJI SHAH & another v AJAY SHANTILAL SHAH & 2 others
    Nairobi HCCC No 2715 of 1987 [2010] 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 Rules 3 and 5 of the Civil Procedure Rules; Section 27 of the Civil Procedure Act; Article 50 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, "Mugumoini Farmers Co. Ltd v Inshwil Builders Engineering Ltd; Ephraim Waithaka Ruitha & another(Interested Parties) [2022] KEELC 1395 (KLR)", Case Analysis (2022). . Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2022/1395/eng@2022-02-21

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