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ELCOtherEnvironment & Land Case 2 of 2022· [2023] KEELC 19013 (KLR)

Giriama Ranching Company Limited v Maalim & another; Shikari & 4 others (Respondent)

Environment and Land Court
19 July 2023
4,284 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~17 min to read original · ~4 min brief

The bottom line

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A Kenyan court refused to punish parties for contempt on paper evidence alone, ordering witnesses to testify about disputed rent payments and a contested lease termination.

What this practically means

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Executive summary

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This ruling by E.K. Makori, J of the Environment and Land Court at Malindi deals with an application dated 9 November 2022 by Giriama Ranching Company Limited and the defendants seeking to cite the plaintiff's officials (the Respondents) for contempt of consent orders recorded on 21 September 2022 and adopted on 26 September 2022. Those orders required payment of rent arrears of Kshs 2,565,000/- and allowed the defendants quiet enjoyment of the leased ranch, LR No 12785 CR No 19142 in Kilifi County, leased in August 2018 for 15 years. The Applicant contended the full arrears were paid into the Respondents' advocate's accounts, yet the Respondents passed a resolution on 25 October 2022 purporting to terminate the lease for alleged non-payment, and forcibly removed the Applicants from the premises. The Respondents countered that only Kshs 2,450,000/- was paid, leaving Kshs 115,000/- outstanding, that Kshs 1,800,000/- allegedly paid to the Registrar of Companies was never paid, and that they lawfully invoked the lease's six-month termination clause; they also objected that disputes arising from the termination belonged to arbitration under the lease. The court reaffirmed the settled law on obedience to court orders and the standard of proof in contempt, but found the disputed factual issues - whether the full arrears were received and whether the termination breached the orders - required an account and oral evidence. It declined to find contempt on the papers and directed that the Respondents be summoned for cross-examination on the two identified issues. No costs order was made.

Key legal issues

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01

Whether contempt of the consent orders was established

Holding

Contempt was not established on the papers; disputed factual issues require oral evidence

Reasoning

The court accepted the consent orders stood, but the parties disputed whether the full rent arrears were paid, whether subsequent rent accrued, and whether the Kshs 1,800,000/- was dishonestly withheld. These contested facts could not be resolved on affidavits and submissions alone, so the court directed cross-examination instead of punishing for contempt.

p. 8
02

Obligation to obey court orders

Holding

A party who knows of an order must obey it until discharged and cannot self-assess its validity

Reasoning

Relying on Ramesh Popatlal Shah, Republic v Kenya School of Law and Wildlife Lodges, the court reaffirmed that obedience to court orders is unqualified, extends to orders believed irregular or void, and that a party wishing not to comply must first have the order discharged or set aside.

p. 3

Legal principles established

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  • It is the plain and unqualified obligation of every person against whom a court order is made to obey it unless and until it is discharged, even if believed irregular or void
  • Knowledge of an order is sufficient for purposes of contempt
  • Contempt must be proved to a standard higher than balance of probabilities but not beyond reasonable doubt

Court orders

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  1. 1.The Respondents be summoned for cross-examination as to whether Kshs 2,565,000/- was received being rent for nine months
  2. 2.Cross-examination on whether after payment of the said figure, a unilateral decision was made to terminate the lease, contrary to the orders in place

Authorities

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Legislation

  • Civil Procedure ActSection 3A

Cases cited (8)

  • Ramesh Popatlal Shah & 2 Others v National Industrial Credit Bank Limited
    [2005] eKLR

    Obligation to obey court orders until discharged; disobedience at pain of contempt

  • Republic v Kenya School of Law & 2 Others Ex-Parte Juliet Wanjiru Njoroge & 5 Others
    [2015] eKLR

    Court orders must be complied with; a party must return to court to explain difficulties

  • Econet Wireless Kenya Ltd vs. Minister for Information & Communication of Kenya & Another
    [2005] 1 KLR 828

    Plain and unqualified obligation to obey court orders even if believed irregular or void

  • Refrigerator & Kitchen Utensils Ltd. vs. Gulabchand Popatlal Shah & Others
    Civil Application No. Nai. 39 of 1990

    Confirmation of the obligation to obey court orders

  • Wildlife Lodges Ltd vs. County Council of Narok and Another
    [2005] 2 EA 344 (HCK)

    Standard of proof in contempt; obligation to obey orders until discharged

  • Africa Management Communication International Ltd v Joseph Mathenge Mugo & Anor.
    [2013] eKLR

    Knowledge of an order is sufficient for contempt

  • Justus Kariuki Mate & Anor. v Hon. Martin Nyaga Wambora
    C.A No. 24 of 2014

    Knowledge of an order is sufficient for contempt

  • R v Cabinet Secretary For Transport Ex-Parte Kenya Country Bus Owners' Association (Through Paul G. Muthambi- Chairman & Others
    [2014]

    Dishonesty antithetical to transparency; court's inherent power to ensure orders are not issued in vain

Jurisdiction invoked
Inherent jurisdiction of the Environment and Land Court to enforce its orders and do justice between the parties

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, "Giriama Ranching Company Limited v Maalim & another; Shikari & 4 others (Respondent)", Case Analysis (2023). Environment & Land Case 2 of 2022. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2023/19013/eng@2023-07-19

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