Geyser International Assets Limited v National Land Commission
The bottom line
#Kenya's land court ordered the National Land Commission to pay Kshs 96.5 million compensation for SGR-acquired land, holding six years of delay unconstitutional.
What this practically means
#Executive summary
#Key legal issues
#Jurisdiction of the ELC over non-payment of compulsory acquisition compensation
The Court has jurisdiction: the dispute relates to compulsory acquisition of land under Section 13(2)(b) of the ELC Act and Article 40 property rights
The Court traced its jurisdiction to Article 162(2)(b) and Section 13 of the ELC Act, which confers power over disputes relating to compulsory acquisition of land. It noted the Petitioner's ownership, the acquisition of 1.089 ha for the SGR, the undisputed award, and that the only issue was non-payment, which is a constitutional question under Article 40.
Whether the Petition met the Anarita Karimi Njeru threshold
The Petition met the threshold, disclosing the rights violated, the constitutional provisions and the manner of violation
Applying Anarita Karimi Njeru as affirmed in Mumo Matemu and Communications Commission of Kenya, the Court found the Petition clearly pleaded violation of the right to property under Article 40 through non-payment of the awarded compensation, and that prompt payment of compensation is a constitutional question.
Whether failure to pay the awarded compensation within the statutory period violated Article 40(3)(b)(i)
Yes; more than six years' delay in paying the undisputed award was unreasonable and breached Article 40(3)(b)(i) of the Constitution and Sections 111 and 115 of the Land Act
The Court held that compensation must be paid promptly, defined as not more than one year after taking possession. The land was taken in 2016/2017, the award made on 23 October 2017 and accepted, yet payment had not been made over six years later. The Respondent also failed to ensure funds were deposited before acquisition, following Modern Coast Builders.
Legal principles established
#- Just compensation for compulsorily acquired land must be paid promptly, defined by the Land Act as within a reasonable time and in any case not more than one year after taking of possession
- The acquiring authority must deposit compensation funds with the Commission before the acquisition is undertaken, and failure to do so before taking possession breaches Article 40(3)(b)(i)
Court orders
#- 1.Judgment entered in favour of the Petitioner as prayed with costs
- 2.Declaration that the Respondent contravened the Constitution and its actions are unlawful
- 3.Declaration that the Respondent abused its statutory powers in refusing to promptly compensate the Petitioner
- 4.Order directing the Respondent to compensate the Petitioner Kshs 96,546,262.00 as per the award dated 23rd October 2017 within ninety (90) days from the date of delivery of the judgment
- 5.Order that the Petitioner is entitled to interests and any other damages applicable in law on the compensation from the date provided in law until payment in full at commercial rates
- 6.Costs of the Petition awarded to the Petitioner, to be borne by the Respondent
- Jurisdiction invoked
- Article 162(2)(b) of the Constitution and Section 13 of the Environment and Land Court Act, No. 19 of 2011; Articles 23(1), 40(3) and 47(1) of the Constitution
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Geyser International Assets Limited v National Land Commission", Case Analysis (2023). Constitutional Petition 24 of 2019. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2023/17813/eng@2023-05-10
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.