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ELCDismissedEnvironment and Land Case Civil Suit 12 of 2011· [2022] KEELC 15526 (KLR)

Kamau v Deliverance Church Registered Trustees & another

Environment and Land Court
24 November 2022
10,256 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~41 min to read original · ~4 min brief

The bottom line

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A Nairobi landowner lost her bid to cancel a land exchange because a signed written agreement trumped her verbal promises and objections.

What this practically means

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Executive summary

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The Plaintiff, registered proprietor of LR 209/9938 Nairobi, sued the Deliverance Church Registered Trustees and its pastor seeking declarations that the subdivision of her land and a proposed exchange with the church's LR 209/9743 were null and void, that the deed of exchange dated 8th October 2008 was a forgery, vacant possession, eviction and mesne profits. She alleged a tenancy created in 1992, a 1996 exchange agreement on conditions never fulfilled, and repeated rescissions. The Defendants denied forgery, asserting the deed was validly executed with the participation of her then advocate, and counterclaimed, invoking constructive trust and proprietary estoppel given their construction of a sanctuary worth over Ksh 100 million. The court framed five issues. It held the 1992 oral tenancy valid (pre-amendment Law of Contract, part performance) but ended on execution of the deed. It found the Plaintiff failed to prove forgery: her photograph appeared on the deed, her advocate attested it on telephone instructions, and she admitted participating in its drafting. Oral pre-conditions not captured in the deed could not contradict it, and the church held title at signing, defeating the misrepresentation claim. The 14-day completion notice issued 10 days after formalisation could not ground rescission. Applying Machira Mwangi Maina, Steadman v Steadman and William Kipsoi Sigei, the court found a common intention on which the church acted, creating a constructive trust. The Plaintiff's suit was dismissed, judgment entered for the Defendants in terms of the counterclaim, and each party ordered to bear own costs.

Key legal issues

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01

Whether the Deed of Exchange dated 8th October 2008 was validly executed

Holding

The court found the deed was validly executed; the Plaintiff actively participated in its drafting and failed to prove forgery

Reasoning

DW2, the Plaintiff's long-standing advocate, testified the deed was brought by Mrs Omenta on the Plaintiff's instructions, that she discussed changes with the Plaintiff by phone, and attested it. The Plaintiff admitted Mrs Omenta visited her office three times to fine-tune the deed and did not contest that her photograph appeared on it. The court held forgery was not proved and that the Plaintiff confirmed active participation in drafting.

02

Whether the oral tenancy agreement was valid

Holding

The 1992 oral tenancy was valid (pre-amendment Law of Contract, with part performance) and ended on 8th October 2008

Reasoning

The oral tenancy was created in 1992 before the amendment to the Law of Contract Act. There was part performance: the church paid rent and was in possession. The tenancy subsisted until the deed of exchange took effect, entitling the Plaintiff to rent only up to the date of signing the deed.

p. 13
03

Whether constructive trust/proprietary estoppel applied

Holding

Yes - common intention on the exchange plus the church's expenditure of over Ksh 100 million on the sanctuary bound the Plaintiff

Reasoning

Relying on Machira Mwangi Maina, Steadman v Steadman and William Kipsoi Sigei, the court found a common intention that the plots be exchanged; the church relied on it by constructing permanent buildings. Correspondence from the Ministry of Lands confirmed steps towards actualisation. The Plaintiff could not renege after all these years.

p. 15
04

Whether rescission was available to the Plaintiff

Holding

No - the 14-day completion notice issued 10 days after formalisation was insufficient and the deed had no completion date

Reasoning

The exchange process had begun in 1996 but the parties only formalised the agreement on 8th October 2008. The 14-day notice was issued 10 days later. The deed contained no completion date or timeline for executing transfers, so the Plaintiff's rescission could not stand.

p. 15

Legal principles established

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  • A contract may be deduced from correspondence exchanged between the parties
  • Oral pre-conditions not incorporated into a written agreement cannot be used to rescind it
  • Constructive trust arises from a common intention actually reached, relied on and acted on by the claimant
  • An advocate may properly take instructions on phone and attest a document on that basis

Court orders

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  1. 1.Plaintiff's suit dismissed
  2. 2.Judgment entered for the Defendants in terms of the counterclaim
  3. 3.Each party to bear own costs

Authorities

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Legislation

  • Law of Contract ActSection 3(3) (Cap 23, as amended by Act No. 2 of 2002)
  • Evidence ActSection 97(1)
  • Evidence ActSection 98
  • Physical Planning ActSections 29, 30, 30(1), 31, 36, 41(2), 41(3), 41(4), 49 and Fourth Schedule (Cap 286, repealed)
  • Physical Planning (Subdivision) RegulationsRegulation 5(2)
  • Land Control Act

Cases cited (17)

  • Mumias Sugar Co Ltd v Freight Forwarders (K) Ltd
    [2005] eKLR

    An agreement for disposition of land may be contained in correspondence, sufficient memorandum under Cap 23

  • Silverbird Kenya Limited v Junction Limited & 3 Others
    [2013] eKLR

    Deed contravening Section 3(3) Law of Contract Act is illegal and unenforceable

  • Mbuthia Macharia v Annah Mutua Ndwiga & Another
    [2017] eKLR

    Evidentiary burden of proof

  • Stanley Mombo Amuti v Kenya Anti-Corruption Commission
    [2019] eKLR

    Evidentiary burden of proof

  • Independent Electoral and Boundaries Commission & another v Stephen Mutinda Mule & 3 others
    [2014] eKLR

    Eviction and vacant possession to be granted in accordance with the law

  • Chalicha Farmers Co-operative Society Limited v George Odhiambo & 9 others
    [1987] eKLR

    Eviction and vacant possession to be granted in accordance with the law

  • Lyods Bank PLC Rosset
    (1991) 1 AC 107, 103

    Common intention supporting constructive trust

  • Steadman v Steadman
    [1976] AC 536, 540

    Party who lets another incur expense on faith of agreement cannot assert it unenforceable

  • Miller v Minister of Pensions
    (1947) 2 ALL ER 372

    Standard of proof on balance of probabilities

  • Hardware Trading Stores Ltd v Christopher Orina cited in Re H (minors)
    [1996] AC 563

    Proprietary estoppel from assurance, promise or agreement relied upon

  • Storer v Manchester City Council
    [1974] 1 W.LR 1403

    Contract formed on outward expression of words; intention found in letters

  • Peter Kimani Kairu t/a Kimani Kairu & Company Advocates v Anna Marie Cassiede & another
    [2019] eKLR

    Adopting Storer v Manchester City Council on formation of contract

  • Mwangi v Kiiru
    [1987] eKLR

    Guidance on rescission

  • Machira Mwangi Maina & 87 others v Davidson Mwangi Kagiri
    [2014]

    Constructive trust based on common intention relied on and acted on

  • Kahosa Makupe Yawa & John Mwamuye Makupe & Another
    [2022] KECA 395 KLR

    Quoting William Kipsoi Sigei on constructive trust and proprietary estoppel over land subject to Land Control Act

  • William Kipsoi Sigei v Kipkoech Arusei
    [2019] eKLR

    Constructive trust created where vendor received price, gave possession and let purchaser remain

  • Yaxley v Gotts & Another
    (2000) Ch 162

    Oral agreement for sale of property enforceable via constructive trust or proprietary estoppel

Jurisdiction invoked
Original civil jurisdiction of the Environment and Land Court over land disputes (Article 162(2)(b) Constitution / ELC Act)

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, "Kamau v Deliverance Church Registered Trustees & another", Case Analysis (2022). Environment and Land Case Civil Suit 12 of 2011. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2022/15526/eng@2022-11-24

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