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ELCDismissedNot stated in the judgment (Kitale ELC; Plaintiff's suit filed 1/3/2021 with Notice of Motion dated 26/2/2021)· [2022] KEELC 1535 (KLR)

Nabakwa Farmers Co-operative Society Limited v Lois Holdings Limited & another [2022] KEELC 1535 (KLR)

Environment and Land Court
14 February 2022
5,204 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~21 min to read original · ~4 min brief

The bottom line

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The Environment and Land Court in Kitale dismissed a land dispute because the same issue had already been decided in a 2014 case, and struck out a deceased director's estate as an improper party.

What this practically means

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Executive summary

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Nabakhwana Farmers Co-operative Society Limited, through its Secretary Robert Nyongesa Makhanu, sued Lois Holdings Limited and Douglas Kimbui (administrator of the estate of Jason Kiamba Kimbui) seeking a temporary injunction restraining eviction of its members from land parcels LR No. 6485 and LR No. 5335/2, where they had been served with an eviction order dated 2/10/2015 and notice dated 9/02/2021. The plaintiff relied on a sale agreement dated 4/11/2015 entered into following the judgment in Kitale HCCC No. 77 of 2004, which declared Lois Holdings Ltd owner of the parcels but allowed the parties to negotiate a sale. The defendants opposed, contending the suit was barred by the subsisting judgment, that no instalment of the Kshs. 99,000,000/- consideration was ever paid, that the agreement was revoked on 4/10/2016 and was null and void for want of Land Control Board consent under Section 22 of Cap 302. The court framed three issues and took the jurisdictional one first. It held that the court in the earlier suit became functus officio upon delivery of the 29/9/2014 judgment, and that the present suit was res judicata, the parties and issues being identical; it also struck out the 2nd Defendant under Order 1 Rule 10(2), Lois Holdings Ltd being a separate entity from its late director. In the alternative it found the matter sub judice. The court dismissed both the application and the entire suit with costs to the Defendants.

Key legal issues

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01

Whether the existence of a valid judgment in Kitale HCCC No. 77 of 2004 barred the present suit and application

Holding

Yes - the suit is res judicata: the same parties litigated over the same land parcels under the same title and the issues were finally determined by a competent court; alternatively the matter is sub judice and should be stayed pending post-judgment issues in the earlier suit.

Reasoning

The court compared the parties and issues in the two suits and found them identical: the Plaintiff's members were defendants in the earlier suit, the same land parcels (LR 6416/6, 6485 and 5335/2) were in issue, and the judgment of 29/9/2014 was final, unappealed and unvaried. The attempt to rope in the administrators of Jason Kiamba Kimbui's estate was held to be a design to circumvent res judicata, since Lois Holdings Ltd is a separate legal entity from its late director.

p. 5
02

Whether the court was functus officio in respect of the judgment of 29/9/2014

Holding

Yes - having delivered judgment on merits, the court in Kitale HCCC No. 77 of 2004 became functus officio; only post-judgment steps (such as the pending application over LR 5335/2) remain permissible.

Reasoning

Relying on Telkom Kenya Ltd v John Ochanda and Bellevue Development Co v Vinayak Builders, the court held that functus officio bars merit-based re-engagement after final judgment, but does not foreclose incidental or supplemental matters such as execution or post-judgment applications. The pending application in the earlier suit is a post-judgment step that does not revive the court's jurisdiction over the merits.

p. 4
03

Whether the applicant satisfied the principles for a temporary injunction

Holding

Not determined - the court made no findings on the injunction principles because the suit was dismissed as res judicata.

Reasoning

The court deliberately reordered the issues, determining the res judicata question first because it went to the root of the application and suit. Having found the suit barred, it considered further findings on the injunction principles unnecessary.

p. 6
04

Whether the 2nd Defendant (administrator of Jason Kiamba Kimbui's estate) should remain a party

Holding

No - the 2nd Defendant was struck out under Order 1 Rule 10(2) of the Civil Procedure Rules, the estate having been joined merely to embarrass it and prolong the matter, Lois Holdings Ltd being a separate legal entity.

Reasoning

The court found that the deceased was neither a party nor adjudged owner in Kitale HCCC No. 77 of 2004; it was Lois Holdings Ltd, the 1st Defendant, that was found to be the owner and that entered the sale agreement. Joining his administrators was therefore an error and a design to sneak the estate into issues already determined.

p. 5

Legal principles established

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  • Once a court delivers judgment or a ruling on merits it becomes functus officio, save for post-judgment issues and clerical adjustments.
  • A company is a legal entity separate from its owners or shareholders.
  • Res judicata under Section 7 of the Civil Procedure Act bars litigation of matters directly and substantially in issue in a former suit between the same parties litigating under the same title.
  • Submissions do not amount to evidence and their absence or presence does not change the merits of an application.

Court orders

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  1. 1.The 2nd Defendant is struck out from the proceedings with costs to them, their presence not adding value and being embarrassing.
  2. 2.The Application dated 26/02/2021 is dismissed with costs to the Defendants.
  3. 3.The entire suit is dismissed with costs to the Defendants.
Jurisdiction invoked
Section 3A of the Civil Procedure Act and Order 40 Rule 1 of the Civil Procedure Rules (injunction application); Section 7 of the Civil Procedure Act (res judicata)

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, "Nabakwa Farmers Co-operative Society Limited v Lois Holdings Limited & another [2022] KEELC 1535 (KLR)", Case Analysis (2022). Not stated in the judgment (Kitale ELC; Plaintiff's suit filed 1/3/2021 with Notice of Motion dated 26/2/2021). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2022/1535/eng@2022-02-14

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