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ELCAllowedNot stated in the judgment excerpt (ruling on Notice of Motion dated 30th November 2023 in the suit)· [2024] KEELC 5400 (KLR)

Sunshine Villas Limited v County Government of Kisumu & another; Ethics and Anti Corruption Commission (Interested Party) (Environment and Land Case Civil Suit 23 of 2018) [2024] KEELC 5400 (KLR)

Environment and Land Court of Kenya
18 July 2024
3,508 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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The court paused enforcement of a land judgment so the owner can appeal, but only after paying Kshs 500,000 security and allowing KIWASCO access to its pipes.

What this practically means

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Executive summary

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This ruling by the Environment and Land Court at Kisumu (S. Okong'o, J) determined a Notice of Motion dated 30th November 2023 in which the Plaintiff sought a stay of execution of the court's judgment of 16th November 2023 pending an intended appeal to the Court of Appeal. In the underlying judgment the court had dismissed the Plaintiff's suit, allowed the Interested Party's counter-claim, declared the Plaintiff's title to Kisumu/Municipality/Block 13/302 null and void on the ground that the land was reserved as an open space for public use, ordered rectification of the register, and restored ownership to the Government of Kenya in trust for the residents of Kisumu. The Plaintiff filed a Notice of Appeal and sought a stay, citing intended demolition by the Defendants and the risk of rendering the appeal nugatory, and offering security. The Defendants and the Interested Party opposed, the latter arguing that the building stood on KIWASCO's high-pressure water pipes, endangering occupants' lives. Applying Order 42 Rule 6 of the Civil Procedure Rules and Kenya Shell Limited v. Karuga, the court found substantial loss likely if execution proceeded, noted the application was made without unreasonable delay, and accepted the offer of security. It held that the public-safety concern could be managed through conditions rather than by refusing the stay. The application was allowed on terms: execution stayed pending appeal; the Plaintiff restrained from selling, transferring or charging the property; an inhibition registered against further dealings; KIWASCO granted unrestricted access for repairs; and Kshs. 500,000 deposited as security within 30 days, failing which the stay lapses. Each party was to bear its own costs of the application.

Key legal issues

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01

Threshold for stay of execution under Order 42 Rule 6(2)

Holding

The application satisfied the conditions: substantial loss, no unreasonable delay, and an offer of security.

Reasoning

The court applied Order 42 Rule 6(2), which requires satisfaction that substantial loss may result unless the order is made, that the application was made without unreasonable delay, and that security has been given. The Plaintiff, as registered proprietor with apartments on the land, risked the building being demolished and the property put beyond its reach if execution proceeded. Delay was not disputed and security was offered.

p. 6
02

Whether the danger to public safety posed by the building should defeat the stay

Holding

The public-safety concern is addressed by conditions attached to the stay, not by refusing it.

Reasoning

The court accepted that the Plaintiff's possible loss must be weighed against the threat to public safety from the building standing on KIWASCO pipes, but held that the court has power to impose conditions when granting a stay, and the threat should be managed through conditions rather than by fettering the discretion to grant the stay. Conditions imposed included unrestricted KIWASCO access and a Kshs. 500,000 security deposit.

p. 6

Legal principles established

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  • Substantial loss is the cornerstone for granting a stay of execution pending appeal
  • A trial court does not assess the merits of an intended appeal when considering a stay; its duty is to prevent substantial loss while the party pursues its right of appeal

Court orders

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  1. 1.Execution of the judgment delivered on 16th November 2023 is stayed pending the hearing and determination of the intended appeal to the Court of Appeal
  2. 2.Pending the appeal, the Plaintiff is restrained from selling, transferring or charging Title No. Kisumu Municipality/Block 13/302 together with the developments and improvements thereon
  3. 3.Pending the appeal, an inhibition shall issue inhibiting registration of any other or further dealings with the suit property and developments thereon
  4. 4.In the event of damage to KIWASCO's water infrastructure or pipes passing through the suit property, the Plaintiff shall grant KIWASCO unrestricted access for repairs or remedial works
  5. 5.The Plaintiff shall deposit Kshs. 500,000 in an interest-earning bank account in the joint names of the advocates for the Plaintiff and the Interested Party as security within 30 days, in default of which the stay shall lapse automatically
  6. 6.Each party shall bear its costs of the application

Authorities

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Legislation

  • Civil Procedure RulesOrder 42 Rule 6 (including 6(2))
  • Civil Procedure RulesOrder XLI rule 4 (as referenced in Kenya Shell Ltd v Karuga)

Cases cited (1)

  • Kenya Shell Limited v. Karuga
    (1982 – 1988) I KAR 1018
Jurisdiction invoked
Order 42 Rule 6 of the Civil Procedure Rules (stay of execution pending intended appeal to the Court of 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, "Sunshine Villas Limited v County Government of Kisumu & another; Ethics and Anti Corruption Commission (Interested Party) (Environment and Land Case Civil Suit 23 of 2018) [2024] KEELC 5400 (KLR)", Case Analysis (2024). Not stated in the judgment excerpt (ruling on Notice of Motion dated 30th November 2023 in the suit). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2024/5400/eng@2024-07-18

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