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ELCAllowedNot stated in the judgment provided· [2025] KEELC 3159 (KLR)

Ndung’u & 5 others v Lesedi Homes Limited & 2 others (Land Case E017 of 2024) [2025] KEELC 3159 (KLR)

Environment and Land Court
7 April 2025
1,132 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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What this practically means

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Executive summary

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This is a ruling by the Environment and Land Court at Murang'a (M.N. Gicheru, J) on the Plaintiffs' notice of motion dated 17 July 2024, brought under Order 40 rules 2 and 4(1) and Order 51 rule 1 of the Civil Procedure Rules, Sections 1A, 1B, 3 and 3A of the Civil Procedure Act and Sections 13, 14, 19 and 29 of the Environment and Land Court Act. The Plaintiffs sought injunctions restraining the Defendants from offering for sale, selling or dealing with land comprised in title deed No. Loc.5/Kabati/2413 (house units 01, 02, 04, 05, 12 and 16 at Almasi Green Estate) and restraining the 1st Defendant from transferring the land to the 3rd Defendant, Boma Link Concepts Limited, pending the hearing of the suit. The 1st and 2nd Defendants filed a preliminary objection dated 24 September 2024 contending the court lacked jurisdiction because the sale agreements contained an ADR/mediation clause (clause 10). The court found the objection without merit: the 1st Defendant failed to respond to a dispute declaration of 11 June 2024 within the 29 days stipulated in clause 10; clause 10(iv) expressly preserved the right to seek interim injunctive relief from a competent court; and clause 12 made time of the essence. The court found the agreement null and void due to the 1st Defendant's delay. On the merits of the application, the court held the Plaintiffs had a prima facie case with probability of success, having paid the full purchase price for undelivered houses, and would suffer irreparable loss as the land was being offered to third parties with no guarantee of reimbursement. The court allowed the motion in terms of prayers (c) and (e), with costs in the cause.

Key legal issues

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01

Whether the preliminary objection based on the ADR clause in the sale agreements ousted the court's jurisdiction

Holding

The preliminary objection had no merit; the 1st Defendant was out of time under clause 10 having failed to respond to the dispute declaration, and clause 10(iv) expressly preserved the right to seek interim injunctive relief from a competent court.

Reasoning

Clause 10 set a 29-day timeline for mediation to commence and conclude. The 1st Plaintiff's advocate declared a dispute by letter of 11 June 2024, which the 1st Defendant never answered. The court also found time to be of essence under clause 12. Further, clause 10(iv) expressly preserved the right to approach a court of competent jurisdiction for interim relief pending mediation. The court accordingly found the agreement null and void owing to the Defendant's delay.

p. 2
02

Whether the Plaintiffs were entitled to interlocutory injunctions

Holding

Yes. The Plaintiffs established a prima facie case with probability of success and stood to suffer irreparable loss as the suit land was being offered to third parties with no guarantee of recovering their investments.

Reasoning

The Plaintiffs paid the full purchase price for house units that were never delivered. The affidavit sworn on 17 July 2024 deponed that the same land was being offered for sale to third parties. The court found no guarantee that the Defendants had the means to recompense the Plaintiffs, so the loss would be irrecoverable, justifying the injunctions in prayers (c) and (e).

p. 3

Legal principles established

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  • An ADR/mediation clause with stipulated timelines does not bar a party from seeking interim injunctive relief where the counterparty fails to respond within those timelines; the clause expressly preserves access to court for interim relief.
  • A prima facie case with probability of success for injunctive relief is established where a purchaser has paid the full purchase price for units never delivered and the underlying land is being offered for sale to third parties.

Court orders

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  1. 1.An order of injunction restraining the Defendants from offering for sale, selling or dealing with the parcels of land comprised in title deed No. Loc.5/Kabati/2413 whereupon house units 01, 02, 04, 05, 12 and 16 are constructed or intended to be constructed pending the hearing and determination of the case
  2. 2.An order of injunction restraining the 1st Defendant from transferring or causing the transfer of property comprised in title deed number Loc.5/Kabati/2413 to the 3rd Defendant, Boma Link Concepts Limited, or its nominees or assigns pending the hearing and determination of the suit
  3. 3.Costs in the cause
Jurisdiction invoked
Sections 13, 14, 19 and 29 of the Environment and Land Court Act; Orders 40 rules 2 and 4(1), 51 rule 1 Civil Procedure Rules; Sections 1A, 1B, 3 and 3A Civil Procedure Act

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, "Ndung’u & 5 others v Lesedi Homes Limited & 2 others (Land Case E017 of 2024) [2025] KEELC 3159 (KLR)", Case Analysis (2025). Not stated in the judgment provided. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2025/3159/eng@2025-04-07

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