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ELCDismissedHCCA No. E188 of 2023 (arising from ELC (Mombasa) CMCC E267 of 2023)· [2024] KEELC 4515 (KLR)

Ndungu v Palma Plus Enterprises & another (Environment and Land Appeal 1 of 2023) [2024] KEELC 4515 (KLR)

Environment and Land Court of Kenya
18 March 2024
5,022 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Mombasa court refused to stop an auction of a businessman's goods, ruling he failed to prove his appeal had a strong chance of success.

What this practically means

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Executive summary

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This ruling of the Environment and Land Court at Mombasa (L.L. Naikuni J) determined a Notice of Motion dated 30th August 2023 by Richard Nguru Ndunyu, the Appellant in an appeal against a magistrate's ruling of 11th July 2023 (Hon. Nyariki) dismissing his application for a temporary injunction in CMCC E267 of 2023. The appeal, originally HCCA No. E188 of 2023 in the High Court, was transferred to this court by Kizito J on 16th August 2023. The Applicant sought a temporary injunction restraining the Respondents - Palma Plus Enterprises, appointed by the administrators of the Estate of Gabriel Mithamo Ndunyu to collect rent on Plot No. MN/281/I, and Five Eleven Auctioneers - from attaching his goods proclaimed on 27th February 2023 for alleged rent arrears of Kshs. 6,430,221/=. He denied any landlord-tenant relationship, claiming he built the shop on land given to him by his uncle, Kanyana. The 1st Respondent maintained it acted on lawful authority and that due process was followed. The court framed three issues and applied Order 42 Rule 6(6) of the Civil Procedure Rules and the Venture Capital/Giella principles. It held the Applicant failed to demonstrate an arguable appeal (having attached the lower-court application without its annexures), proved no irreparable injury compensable only by an injunction, and did not show the balance of convenience favoured him. The application was dismissed, execution to proceed, with costs to the 1st Respondent.

Key legal issues

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01

Whether the Applicant met the threshold for a temporary injunction pending appeal

Holding

The application failed on all three Giella limbs: no prima facie/arguable appeal, no demonstrated irreparable injury, and no balance of convenience in his favour

Reasoning

The court noted the applicant attached only the lower-court application without its annexures, so the court could not verify the evidence upon which the magistrate premised her decision, and he could not show an arguable appeal. He produced no proof of the alleged grant of the premises by his uncle nor evidence of actual, substantial and demonstrable injury. Since neither party produced ownership documents, he failed to show the balance of convenience favoured granting the injunction.

p. 9
02

Costs of the application

Holding

Costs follow the event; the unsuccessful Applicant to bear costs payable to the 1st Respondent

Reasoning

Section 27(1) of the Civil Procedure Act provides that costs follow the event, meaning the result of the legal action. Since the Appellant's application was unsuccessful, the 1st Respondent was entitled to the costs of the application and appeal.

p. 10

Legal principles established

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  • The High Court/ELC in the exercise of its appellate jurisdiction may grant a temporary injunction pending appeal under Order 42 Rule 6(6), guided by the Venture Capital principles and the Giella v Cassman Brown test
  • Irreparable injury is a question of fact that the applicant must establish through evidence; speculative injury will not suffice
  • Costs follow the event under Section 27(1) of the Civil Procedure Act

Court orders

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  1. 1.The Notice of Motion dated 30th August 2023 is found to be devoid of merit and is dismissed
  2. 2.The matter proceeds with execution accordingly as ordered by the trial court
  3. 3.Costs to be borne by the Appellant/Applicant and awarded to the 1st Respondent

Authorities

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Legislation

  • Civil Procedure Act, Cap. 21Sections 1A, 1B, 3A, 3B, 63(e), 27(1)
  • Civil Procedure Rules, 2010Order 40 Rules 1(a) and 4(1); Order 42 Rule 6(6)
  • Constitution of Kenya, 2010Article 159(2)(d); Article 40
  • Distress for Rent ActSection 3(1)

Cases cited (11)

  • Giella v Cassman Brown [1973] EA 358
    [1973] EA 358
  • Nguruman Limited v Jan Bonde Nielsen & 2 others
    CA No. 77 of 2012 (2014) eKLR
  • MRAO Limited v First American Bank of Kenya Limited
    [2003] eKLR
  • Pius Kipchirchir Kogo v Frank Kimeli Tenai
    [2018] eKLR
  • C.Y.O v George Hannington Zephania Aduda T/A Aduda
  • Patricia Njeri & 3 Others v National Museum of Kenya
    [2004] eKLR
  • Venture Capital
  • Madhupaper International Limited v Kerr
    [1985] KLR 840
  • J. K. Industries v KCB
    [1982-88] KLR 1088
  • Butt v Rent Restriction Tribunal
    [1982] KLR 417
  • Shitukha Mwamodo & Others
    [1986] KLR 445
On appeal from
Magistrate's Court (Mombasa)
ELC (Mombasa) CMCC E267 of 2023 - Richard Nguru Ndunyu v Palma Plus Enterprises and Five Eleven Auctioneers
Jurisdiction invoked
Order 42 Rule 6 (6) of the Civil Procedure Rules, 2010 - appellate jurisdiction to grant a temporary injunction pending appeal

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, "Ndungu v Palma Plus Enterprises & another (Environment and Land Appeal 1 of 2023) [2024] KEELC 4515 (KLR)", Case Analysis (2024). HCCA No. E188 of 2023 (arising from ELC (Mombasa) CMCC E267 of 2023). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2024/4515/eng@2024-03-18

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