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ELCPartially AllowedNot stated in the judgment (Notice of Motion dated 17th January 2024 within the pending suit)· [2025] KEELC 202 (KLR)

County Government of Kajiado v Tata Chemicals Magadi Ltd; National Land Commission & 3 others (Interested Parties); Tata Chemicals Magadi Ltd (Plaintiff to the Counterclaim); County Government of Kajiado & another (Defendant to the Counterclaim) (Environment & Land Case E043 of 2023) [2025] KEELC 202 (KLR)

Environment and Land Court of Kenya at Kajiado
30 January 2025
3,094 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~12 min to read original · ~4 min brief

The bottom line

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A Kenyan court stopped Kajiado County from shutting down Tata Chemicals' Magadi operations over a Kshs. 358 million rates bill while the main dispute is decided.

What this practically means

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Executive summary

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This is a ruling on a Notice of Motion dated 17th January 2024 by Tata Chemicals Magadi Ltd (Defendant in the main suit, Applicant by counterclaim) seeking an interlocutory injunction restraining the County Government of Kajiado and Regional Business Connection Ltd from interfering with its premises at Magadi. The dispute arose when the County issued an invoice of Kshs. 358,748,000 for land rates in October 2023, served a demand notice on 15th January 2024, and shut down the Applicant's premises on 16th January 2024. The Applicant, which holds leasehold interests over LR No. 1026/R and 3867 at Lake Magadi, argued closure was not a remedy available under the Rating Act or the Kajiado County Rating Act 2016. The County filed a preliminary objection contending the court lacked jurisdiction under Section 6 of the Civil Procedure Act because the rates dispute was pending before the Court of Appeal in Civil Appeal No. 530 of 2019, an appeal from Kajiado High Court Petition No. 2 of 2019 which had quashed an earlier rates demand of Kshs. 17,448,485,646. The court dismissed the preliminary objection, holding it was not a pure point of law since determining it would require perusing the Memorandum of Appeal, and no stay had been granted in the Court of Appeal. On the injunction, applying Giella v Cassman Brown and Nguruman, the court found a prima facie case, irreparable loss beyond monetary compensation given the Applicant's school, Level Four hospital, dam and boreholes serving the community, and the balance of convenience favouring the Applicant. The application was allowed, with an injunction restraining the Defendants in the counterclaim from interfering with the Applicant's premises pending hearing of the suit, and costs ordered to abide the outcome of the main suit.

Key legal issues

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01

Whether the preliminary objection on the basis of Section 6 Civil Procedure Act (sub-judice before the Court of Appeal) was competent

Holding

The preliminary objection failed because determining whether the rates issue is before the Court of Appeal would require ascertaining facts (perusing the Memorandum of Appeal), so it is not a pure point of law; no stay had been granted to halt discussion of the issue

Reasoning

The court applied the Mukisa Biscuit and Joho v Shahbal tests: a preliminary objection must be a pure point of law discernible on the pleadings. Since the Respondent's contention required perusal of the Memorandum of Appeal in Civil Appeal No. 530 of 2019, it was not a pure point of law. Further, Section 6 of the Civil Procedure Act concerns stays between courts, and no stay had been granted in the Court of Appeal, so the objection was misplaced and was disallowed.

p. 5
02

Whether the Defendant/Applicant met the threshold for an interlocutory injunction

Holding

All three Giella conditions were satisfied: a prima facie case was established, irreparable loss not compensable by damages was demonstrated, and the balance of convenience favoured the Applicant

Reasoning

The court found the Applicant had shown its premises were forcibly closed without demonstrated legal basis and that closure would disrupt critical community services - a school, a Level Four hospital, a dam and boreholes - whose intrinsic value transcends financial quantification and which safeguard constitutional rights. Damages could not compensate such harm. The balance of convenience favoured the Applicant, since the County would still be paid rates once the Court of Appeal decided the pending appeal.

p. 6
03

Costs of the application

Holding

Costs were not awarded to either party but made to abide the outcome of the main suit

Reasoning

Having allowed the application, the court nonetheless declined to award costs immediately, directing instead that costs of the application await the final determination of the main suit and counterclaim.

p. 7

Legal principles established

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  • A preliminary objection must be a pure point of law argued on the assumption that all facts pleaded by the other side are correct; it cannot be raised where facts must be ascertained or judicial discretion exercised
  • Jurisdiction is everything; a court without jurisdiction must down its tools at once
  • The three Giella/Nguruman conditions for interlocutory injunctions are sequential, separate hurdles the applicant must surmount

Court orders

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  1. 1.Pending the hearing and determination of the suit, an order restraining the Defendants/Respondents in the counterclaim, by themselves or their servants, agents or assigns, from trespassing, entering, remaining or closing, locking, blocking or in any other manner interfering with any of the Defendant/Applicant's premises, business operations, factories, gates and properties situated in Magadi, in the County of Kajiado
  2. 2.Costs to abide the outcome of the main suit

Authorities

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Legislation

  • Civil Procedure ActSections 1A, 1B, 3A, 6, 2
  • Civil Procedure RulesOrder 40 Rules 1, 2 and 4
  • Companies Act
  • Rating ActSection 17
  • Kajiado County Rating Act 2016
  • Kajiado County Finance Bill 2023Section 22
  • Kajiado Finance Act 2023Sections 14 and 22

Cases cited (7)

  • Mukisa Biscuit Manufacturing Co. Ltd vs West End Distributors
    [1969] EA 696
  • Giella vs Cassman Brown & Co. Ltd
    [1973] EA 358
  • Mrao vs First American Bank of Kenya Ltd & 2 others
    (2003) eKLR
  • Nguruman Ltd vs Jan Bonde Nielsen & 2 others
    [2014] eKLR
  • Joho & another v Shahbal & 2 others
    [2014] KESC 34 (KLR)
  • Owners Of The Motor Vessel "Lillian S" v Caltex Oil (Kenya) Ltd
    [1989] KECA 48 (KLR)
  • Paul Gitonga Wanjau Vs. Gathitu Tea Factory Co. Limited & 2 others
    (2016) eKLR
Jurisdiction invoked
Original civil jurisdiction over the counterclaim; application brought under Sections 1A, 1B and 3A of the Civil Procedure Act and Order 40 Rules 1, 2 and 4 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, "County Government of Kajiado v Tata Chemicals Magadi Ltd; National Land Commission & 3 others (Interested Parties); Tata Chemicals Magadi Ltd (Plaintiff to the Counterclaim); County Government of Kajiado & another (Defendant to the Counterclaim) (Environment & Land Case E043 of 2023) [2025] KEELC 202 (KLR)", Case Analysis (2025). Not stated in the judgment (Notice of Motion dated 17th January 2024 within the pending suit). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2025/202/eng@2025-01-30

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