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ELCDismissedSuit number not stated in the judgment (notice of motion dated 9th March 2023)· [2024] KEELC 5044 (KLR)

Bamburi Supermarkets Ltd v Rupa & 3 others (Environment and Land Case 165 of 2021) [2024] KEELC 5044 (KLR)

Environment and Land Court
3 July 2024
1,767 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~7 min to read original · ~4 min brief

The bottom line

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A Mombasa court refused to pause a land dispute, confirming that Kenyan courts only stay proceedings in exceptional cases and that parallel suits on different issues can continue.

What this practically means

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Executive summary

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The 1st defendant, Rupa Gupta, moved the Environment and Land Court at Mombasa by notice of motion dated 9th March 2023 seeking stay of execution of the ruling of 9th November 2022 (which had directed her to comply with orders of 7th December 2021 on escrow deposit of rental income, failing which a fine or committal) and stay of the suit pending determination of Mombasa High Court Commercial Case No. E70 of 2021 concerning the shareholding of the plaintiff company. She argued that determination of shareholding and directorship would resolve who should run and manage Gupta Complex on LR No. 3413/I/MN, and that parallel proceedings risked conflicting decisions. The plaintiff opposed, asserting the application was bad faith aimed at circumventing the orders of 9th November 2022. The court framed three issues: the threshold for stay of proceedings, the orders to issue, and costs. It held that the prayer for stay of execution fell outside the three recognized categories under the Civil Procedure Rules and lacked evidential basis, there being no pending appeal or review. On stay of the suit, the court found the subject matters of the two suits substantially distinct, as it had already held in its ruling of 7th December 2021, which remained unchallenged, and applied Kenya Wildlife Service v James Mutembei on the sparing exercise of the power to stay proceedings. The court found the application contrary to the principles of registered land ownership under sections 25 and 26 of the Land Registration Act and Article 40 of the Constitution, and confirmed its jurisdiction. The notice of motion was dismissed with costs to the plaintiff.

Key legal issues

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01

Whether the threshold for stay of execution of the ruling of 9th November 2022 was met

Holding

It was not; the application fell outside the recognized categories of stay of execution

Reasoning

The court noted none of the statutory provisions invoked deal with stay of execution, and that under the Civil Procedure Rules stay of execution arises only in three instances: pending appeal (Order 42 Rule 6), pending a suit in another court between decree holder and judgment debtor (Order 22 Rule 25), or upon objection to attachment (Order 22 Rule 52). The application fit none.

p. 3
02

Whether the suit should be stayed pending Mombasa HCCC No. E70 of 2021

Holding

No; the subject matters are substantially distinct and the earlier ruling of 7th December 2021 on that point stands

Reasoning

The dominant issue in this suit is the 1st defendant collecting rent from property she does not own, while the High Court suit concerns shareholding and removal of a shareholder. The court had already ruled in its 7th December 2021 ruling that the subject matters are distinct and no conflict exists; that ruling was never reviewed or appealed.

p. 3
03

Jurisdiction of this court over the dispute

Holding

This court has jurisdiction; the High Court ruling of 30th November 2022 confirmed its own jurisdiction over the issues in HCCC E70 of 2021

Reasoning

The court reminded the parties that it had already ruled that the suit falls within its jurisdiction, and the High Court's ruling of 30th November 2022 in HCCC E70 of 2021 addressed the issues in that suit, so any question of conflicting jurisdiction was a non-issue.

p. 4
04

Costs

Holding

Costs follow the event; the 1st defendant to pay the plaintiff's costs

Reasoning

Under section 27 of the Civil Procedure Act costs follow the event unless the court orders otherwise for good reason, and the court found no good cause to depart from that edict.

p. 4

Legal principles established

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  • Stay of proceedings is a serious interruption of a party's right to litigate and should only be granted in exceptional cases where the proceedings could not possibly succeed

Court orders

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  1. 1.The 1st defendant's notice of motion dated 9th March 2023 is without merit and is dismissed.
  2. 2.The 1st defendant to pay the plaintiff's costs.

Authorities

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Legislation

  • Environment and Land Court Actsections 3, 13(7), 19(1) and (2)
  • Civil Procedure Act, Chapter 21 Laws of Kenyasections 1A, 1B, 3A, 63(e), 27
  • Civil Procedure RulesOrder 51 Rule 1; Order 42 Rule 6; Order 22 Rule 25; Order 22 Rule 52
  • Land Registration Actsections 25 and 26
  • Constitution of Kenya 2010Article 40

Cases cited (1)

  • Kenya Wildlife Service Vs James Mutembei
    (2019) eKLR
Jurisdiction invoked
Sections 3, 13(7), 19(1) and (2) of the Environment and Land Court Act No. 19 of 2011; sections 1A, 1B, 3A and 63(e) of the Civil Procedure Act, Cap 21; Order 51 Rule 1 of the Civil Procedure Rules

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, "Bamburi Supermarkets Ltd v Rupa & 3 others (Environment and Land Case 165 of 2021) [2024] KEELC 5044 (KLR)", Case Analysis (2024). Suit number not stated in the judgment (notice of motion dated 9th March 2023). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2024/5044/eng@2024-07-03

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