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ELCAllowedNot stated in the judgment as provided· [2022] KEELC 2028 (KLR)

Mary Ngonyo Kiume v Charles Muisyo David & 2 others; Exams Housing Co-operative Society Limited (Interested Party) [2022] KEELC 2028 (KLR)

Environment and Land Court
20 January 2022
4,418 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~18 min to read original · ~4 min brief

The bottom line

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A Kenyan court cancelled a land title because the owner could not prove how she acquired the land, even though a buyer had paid millions for it.

What this practically means

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Executive summary

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The Plaintiff, registered owner of Mavoko Town Block 3/2051, subdivided it in November 2016 into two parcels through the 1st Defendant, a surveyor. She received the title for parcel 55641 but not for parcel 55640, which a search on 12th April 2018 showed had been transferred to the 2nd Defendant on 24th April 2017. She sued for cancellation of the 2nd Defendant's title and rectification of the register, alleging collusion and fraud. The 2nd Defendant counterclaimed, claiming she bought the land for Kshs. 5,000,000 in 2015 (later stated as April 2016), with Land Control Board consent issued on 24th April 2017. The Interested Party, a cooperative society, had agreed to purchase the suit property from the 2nd Defendant for Kshs. 24,700,000 after due diligence searches. The court framed one principal issue: whether the 2nd Defendant fraudulently obtained title. Applying the Torrens system under section 26 of the Land Registration Act, the court held that once a title is challenged the holder must prove the root of title. The 2nd Defendant produced no written sale agreement as required by section 3(3) of the Law of Contract Act, no receipts or proof of payment, and gave contradictory dates of purchase. Her claim of purchase therefore failed, and the court found the title was procured illegally or through a corrupt scheme. Under section 26(1)(b), such a title is impeachable even against an innocent subsequent purchaser. The Plaintiff's suit was allowed: the register was ordered rectified by cancelling the 2nd Defendant's title and issuing a certificate of title to the Plaintiff, a permanent injunction was issued against the 2nd and 3rd Defendants, and the 2nd Defendant was ordered to pay the costs of the suit.

Key legal issues

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01

Whether the 2nd Defendant fraudulently obtained title to the suit property

Holding

Yes - the 2nd Defendant failed to prove the root of her title; the title was procured illegally or through a corrupt scheme

Reasoning

The 2nd Defendant claimed she purchased the land for Kshs. 5,000,000 but produced no sale agreement as required by section 3(3) of the Law of Contract Act, no proof of payment, and gave contradictory dates (2015 in the Defence, April 2016 in testimony). As her root of title was challenged, she bore the burden of proving legality, which she failed to discharge.

p. 5
02

Whether the register should be rectified and title cancelled

Holding

Yes - rectification ordered; a fraudulent title passes no property even to an innocent subsequent purchaser

Reasoning

Applying section 26(1)(b) of the Land Registration Act, indefeasibility does not protect a title procured illegally or through a corrupt scheme. Having found the transfer to the 2nd Defendant fraudulent, the court held she had no property to pass to the Interested Party, who bought the suit property from her.

p. 5

Legal principles established

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  • When a certificate of title is challenged, the burden shifts to the registered proprietor to explain the root of title
  • A title procured illegally, unprocedurally or through a corrupt scheme is impeachable even where the holder did not participate in the illegality
  • A contract for the disposition of an interest in land must be in writing, signed and attested under section 3(3) of the Law of Contract Act

Court orders

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  1. 1.An order for rectification of the land register by cancellation of the Title Deed issued to the 2nd Defendant over Mavoko Town Block 3/55640 and a certificate of title to be issued to the Plaintiff
  2. 2.An order of permanent injunction against the 2nd and 3rd Defendants, their agents, servants or assigns restraining them from leasing, transferring, charging, taking possession, developing or in any other manner dealing with Mavoko Town Block 3/55640
  3. 3.Costs of the suit to be paid by the 2nd Defendant

Authorities

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Legislation

  • Land Registration ActSection 26(1)(a) and (b)
  • Law of Contract ActSection 3(3)
  • Evidence ActSection 143

Cases cited (17)

  • Propwa Company Ltd vs Justus Nyamo Gatondo & another
    (2020) eKLR
  • Benson Wandera Okuku vs Israel Were Wakho
    [2020] eKLR
  • Patrick Tarzan Matu & Another vs Nassim Shariff Nassir Abdulla & 2 Others
    [2009] eKLR
  • Silverbird Kenya Ltd vs Junction Ltd & 3 others
    [2013] eKLR
  • Moses Parantai & Peris Wanjiku Mukuru suing as the legal representatives of the estate of Sospeter Mukuru Mbeere (deceased) vs Stephen Njoroge Macharia
    [2020] eKLR
  • Urmila w/o Mahendra Shah vs Barclays Bank International Ltd & another
    [1979] eKLR
  • Embakasi Properties Limited & another vs Commissioner of Lands & another
    [2019] eKLR
  • Regal Constellation Hotel Ltd Re 2004 Can LII 2006 Ontario C.A.
    Page 13 para 42
  • David Peterson Kiengo & 2 Others vs Kariuki Thuo
    [2012] eKLR
  • Alice Chemutai Too vs Nickson Kipkurui Korir & 2 Others
    [2015] eKLR
  • Elijah Makeri Nyangwara vs Stephen Mungai Njuguna & Another
    Eldoret ELC Case No. 609 B of 2012
  • Arthi Highway Developers Limited vs West End Butchery Limited & 6 Others
    Civil Appeal No. 246 of 2013 (2015) eKLR
  • Vijay Morjaria vs Nansing Madhusingh Darbar & Others
    [2000] eKLR (Civil Appeal No 106 of 2000)
  • Munyu Maina vs Hiram Gathiha Maina
    [2013] eKLR
  • Kenya National Highway Authority vs Shalien Masood Mughal & 5 others
    [2017] eKLR
  • Chemei Investments Limited vs The Attorney General & Others
    Nairobi Petition No. 94 of 2005 (unreported)
  • Milan Kumar Shah & 2 Others vs City Council of Nairobi & Another
Jurisdiction invoked
Original civil jurisdiction of the Environment and Land Court over disputes relating to title to land (first-instance suit by plaint)

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, "Mary Ngonyo Kiume v Charles Muisyo David & 2 others; Exams Housing Co-operative Society Limited (Interested Party) [2022] KEELC 2028 (KLR)", Case Analysis (2022). Not stated in the judgment as provided. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2022/2028/eng@2022-01-20

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