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ELCDismissedPetition dated 22nd March 2019 (consolidated with Kisumu ELC No. 767 of 2015)· [2024] KEELC 6332 (KLR)

Mayfair Holdings Limited v County Commissioner Kisumu & 3 others; Ethics & Anti-Corruption Commission & another (Interested Parties) (Constitutional Petition 2 of 2019) [2024] KEELC 6332 (KLR)

Environment and Land Court of Kenya
26 September 2024
13,618 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~54 min to read original · ~4 min brief

The bottom line

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A Kenyan court cancelled Mayfair Holdings' land titles in Kisumu, confirming that a title obtained through fraud or illegal allocation protects no one.

What this practically means

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Executive summary

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Mayfair Holdings Limited petitioned claiming ownership of Kisumu Municipality/Block 11/99, 11/100 and 11/187 and alleging violation of its Article 40 property rights when State officers used Plot 100 for parking. Kenya Railways Corporation (4th Respondent) cross-petitioned claiming Plots 99 and 100 as its leasehold property (subdivisions of Kisumu Municipality/Block 11/3, subleased to George Okungu and Prof. Bethwell Ogot), while the Ethics and Anti-Corruption Commission counter-claimed that the titles were fraudulent and that Plot 187 was a road reserve. ELC No. 767 of 2015, Prof. Ogot's suit over Plot 100, was consolidated with the petition. The court found that Plots 99 and 100 belonged to Kenya Railways throughout and were never surrendered for reallocation; the parallel Government leases and certificates issued to Mayfair's vendors were illegal nullities, with the Commissioner of Lands' allocation amounting to abuse of office. Plot 187 was created irregularly by closing a public road without following the statutory procedure, and the Registry Index Map contained fraudulent entries. Applying Article 40(6) and the principle that title is only indefeasible where the process was lawful, the court held Mayfair acquired no valid title and its petition was dismissed. Kenya Railways was declared lawful leasehold proprietor of Plots 99 and 100 subject to the registered sub-leases; Plot 187 was declared a road reserve restored to the Government; and Prof. Ogot was declared entitled to possession of Plot 100. Costs were awarded to Kenya Railways against the Attorney General and the cross-petition interested parties, the EACC bearing its own costs, and Prof. Ogot receiving costs of ELC No. 767 of 2015.

Key legal issues

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01

Validity of the Petitioner's title to Plot No. 99

Holding

The Petitioner's title is invalid; Plot No. 99 belonged to Kenya Railways which subleased it to George Okungu, and the sale to the Petitioner was illegal, null and void

Reasoning

Plot No. 99 was a subdivision of Kisumu Municipality/Block 11/3, held by Kenya Railways as leasehold proprietor and subleased to George Okungu. Okungu paid rent to and required consent of the 4th Respondent. The Petitioner's certificate of lease incorrectly showed the Government of Kenya as lessor and omitted the 4th Respondent entirely, indicating fraud. Okungu, as sub-lessee, could not convey title from the Government of Kenya.

02

Validity of the Petitioner's title to Plot No. 100

Holding

The allocation of Plot No. 100 to Moses Onyango and George Nyakundi by the Commissioner of Lands was illegal, null and void; the Petitioner acquired no valid title

Reasoning

Plot No. 100 remained the property of Kenya Railways, which had subleased it to Prof. Bethwell Ogot. No evidence of surrender to the Government existed; it was not unalienated Government land available for allocation. The Commissioner of Lands' parallel allocation was fraudulent and amounted to abuse of office, so no valid interest passed to the Petitioner.

p. 15
03

Validity of the Petitioner's title to Plot No. 187

Holding

Plot No. 187 was illegally created from a public road reserve and allocated to Wilred Mating'a Nyakundi; the Petitioner holds no valid title

Reasoning

Survey maps, the PDP and the Cadastral Checking Office Report showed the parcel was created by closing a road between Plots 88, 99 and 100, and the road-closure procedure was never followed. The RIM contained contradictory and fraudulent entries (creation by consolidation and simultaneous subdivision). Nyakundi held a nullity and could pass nothing to the Petitioner.

p. 18
04

Violation of the Petitioner's Article 40 right to property

Holding

No violation; Article 40(6) excludes protection of unlawfully acquired property

Reasoning

Having found the Petitioner's titles nullities, the court held the Constitution does not protect illegal and fraudulent property interests, so the Respondents could not have infringed non-existent rights.

p. 19
05

Reliefs in the cross-petition, counter-claim and ELC No. 767 of 2015

Holding

Kenya Railways, the EACC (save for two reliefs) and Prof. Ogot (save damages for trespass) were entitled to their respective reliefs

Reasoning

The evidence established Kenya Railways as lawful leasehold proprietor of Plots 99 and 100, the EACC's proof of fraud and that Plot 187 was a road reserve, and Prof. Ogot's registered sublease over Plot 100 entitling him to possession, though damages for trespass failed for want of evidence of entry.

p. 20

Legal principles established

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  • Indefeasibility of title is subject to Article 40(6) of the Constitution; unlawful acquisition defeats protection
  • A registered proprietor whose root of title is challenged must prove the legality of the acquisition beyond the title instrument
  • A title founded on a nullity is itself null and void and passes no interest
  • The Commissioner of Lands may only alienate unalienated Government land; land already leased or reserved for public purpose cannot be allocated

Court orders

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  1. 1.The Petitioner's petition dated 22nd March 2019 is dismissed
  2. 2.Declaration that the conduct and actions of the Respondents in the cross-petition contravened the Constitution and infringed the cross-petitioner's rights under articles 2(1), (2), 3(1), 10(1), (2), 22(1), 23(1), 40 and 47
  3. 3.Declaration that Kenya Railways Corporation is the legitimate leasehold proprietor of Kisumu Municipality Block 11/99 and 11/100 subject to registered sub-leases
  4. 4.Declaration that the 1st Respondent in the cross-petition's claim of ownership is unlawful and constitutes trespass
  5. 5.Declaration that the purported transfer/registration of the parcels in favour of the 1st Respondent in the cross-petition was unconstitutional
  6. 6.Order of mandamus compelling the County Land Registrar Kisumu to cancel the leases and certificates of lease for Plot Nos. 99 and 100 issued to the Petitioner and its predecessors
  7. 7.Order of mandamus compelling the County Land Registrar Kisumu to rectify the registers for Plot Nos. 99 and 100, restoring the cross-petitioner as leasehold proprietor with sub-leases to George Okungu and Prof Bethwel Ogot
  8. 8.Permanent injunction restraining the 1st, 2nd and 3rd Respondents in the cross-petition from dealing with Plot Nos. 99 and 100
  9. 9.Permanent injunction restraining the 1st Respondent in the cross-petition from interfering with the cross-petitioner's quiet possession of Plot Nos. 99 and 100
  10. 10.Permanent injunction restraining Mayfair Holdings Limited from dealing with Kisumu Municipality Block 11/187
  11. 11.Declaration that registration of leases for Plot Nos. 99, 100 and 187 in the name of Mayfair Holdings Limited was null and void ab initio
  12. 12.Declaration that Kisumu Municipality Block 11/187 was a road reserve
  13. 13.Order that the County Land Registrar Kisumu rectify the register for Plot No. 187 by cancelling the leases and restoring the Government of Kenya as sole owner for a road
  14. 14.Declaration that Prof. Bethwel A. Ogot is the proprietor of a sub-lease from Kenya Railways Corporation in respect of Plot No. 100 and is entitled to immediate possession and user thereof
  15. 15.Declaration that the certificate of lease held by Mayfair Holdings Limited for Plot No. 100 was obtained fraudulently, is null and void and conferred no title
  16. 16.The 1st, 2nd and 3rd Defendants in ELC No. 767 of 2015 shall hand over possession of Plot No. 100 to Prof. Bethwel A. Ogot, in default of which he may apply for their eviction
  17. 17.Costs of the petition and cross-petition to the 4th Respondent/cross-petitioner, payable by the Attorney General and the 1st and 2nd Interested Parties in the cross-petition
  18. 18.The 1st Interested Party in the main petition to bear its own costs of the petition and counter-claim
  19. 19.Costs of ELC No. 767 of 2015 to Prof. Bethwel A. Ogot, payable by the 1st, 2nd and 4th Defendants in that suit

Authorities

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Legislation

  • Constitution of Kenya, 2010Articles 40, 40(6), 65, 162(2)
  • Registered Land Act, Chapter 300 (now repealed)Sections 27, 28, 30
  • Land Registration Act, 2012Sections 24, 25, 26, 28, 80
  • Registration of Titles Act, Chapter 281 (now repealed)Section 23
  • Government Lands Act, Chapter 280 (now repealed)Section 2
  • Kenya Railways Corporation ActSections 13, 14(4) and (5)

Cases cited (18)

  • Dina Management Limited v. The County Government of Mombasa & Others
    Supreme Court Petition 8 (E010) of 2021 [2023] KESC 30 (KLR) (21st April 2023)
  • Munyu Maina v. Hiram Gathiha Maina
    Civil Appeal No. 239 of 2009
  • Katende v. Haridar & Company Limited
    [2008] 2 E.A. 173
  • Kiambu County Tenants Welfare Association v. Attorney General & another
    [2017] eKLR
  • Edward Akong'o Oyugi & 2 others v. Attorney General
    [2019] eKLR
  • Milankumar Shah & 2 others v. The City Council of Nairobi & another
    Nairobi HCCC No. 1024 of 2005 (O.S)
  • Dr. Joseph Arap Ngok v. Justice Moijo Ole Keiwa & 5 Others
    [1997] eKLR
  • Wreck Motor Enterprises v. The Commissioner of Land & Others
    [1997]
  • Town Council of Awendo v. Nelson Oduor Onyango & Others
    [2013] eKLR
  • Adan Abdirahani Hassan & 2 others v. Registrar of Titles & 2 others
    [2013] eKLR
  • Daudi Kiptugen v Commissioner of Lands & 4 Others
    [2015] eKLR
  • Henry Muthee Kathurima v. Commissioner of Lands & Another
    [2015] eKLR
  • Macfoy v. United Africa Co. Ltd.
    [1961] 3 All E.R 1169
  • Wambui v. Mwangi & 3 others
    (Civil Appeal 465 of 2019) [2021] KECA 144 (KLR)
  • Cecilia Karuru Ngayu v. Barclays Bank of Kenya & another
    [2016] eKLR
  • Republic v. Rosemary Wairimu Munene, Ex-Parte Applicant and Ihururu Dairy Farmers Co-operative Society Ltd
  • Funzi Development Ltd & Others v County Council of Kwale
    Mombasa Civil Appeal No. 252 of 2005 [2014] eKLR
  • James Joram Nyaga & Another v. The Hon. Attorney General and two others
    Miscellaneous Civil Application No. 1732 of 2004
Jurisdiction invoked
Article 162(2) of the Constitution of Kenya (Environment and Land Court)

Key timeline

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Practical implications

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Frequently asked questions

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Later judgments citing this (1)

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Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

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Cite this brief

Caselaw, "Mayfair Holdings Limited v County Commissioner Kisumu & 3 others; Ethics & Anti-Corruption Commission & another (Interested Parties) (Constitutional Petition 2 of 2019) [2024] KEELC 6332 (KLR)", Case Analysis (2024). Petition dated 22nd March 2019 (consolidated with Kisumu ELC No. 767 of 2015). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2024/6332/eng@2024-09-26

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