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ELCAllowed· [2025] KEELC 3224 (KLR)

Nationwide Finance Co. Ltd v Industries & another; Mbuthia & another (Interested Parties) (Environment & Land Case 3231 of 1985) [2025] KEELC 3224 (KLR)

Environment and Land Court
8 April 2025
1,763 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 ruling of the Environment and Land Court at Nairobi (O. A. Angote, J) determined the Plaintiff's notice of application dated 25th April 2022 in an old suit in which a decree issued on 7th March 1988 required the 2nd Defendant to pay the Plaintiff Kshs. 372,060 with interest at 19% per annum, plus certified costs. The 2nd Defendant never entered appearance and could not be traced. Following the decree, the suit property, LR No. Nyandarua/Karati/728, was sold by public auction on 28th January 2022, with John Mathara Mwangi as highest bidder at Kshs. 9,010,000, which he paid in full. A previous ruling dated 23rd February 2023 had allowed his joinder as interested party and found that the certificate of sale issued under Order 22 Rule 79 of the Civil Procedure Rules was conclusive proof of his ownership. The deceased original Interested Party's application had abated after his death on 23rd November 2023. Relying on Section 98 of the Civil Procedure Act, the court directed its Deputy Registrar to execute the transfer, the application for land control board consent, and all other documents necessary to effect the transfer. Invoking Section 31 of the Land Registration Act, as explained in Simon Ng'ang'a Njoroge v Daniel Kinyua Mwangi and Murea v Njuguna, the court directed the Land Registrar, Nyandarua County, to dispense with production of the original title and effect the transfer. Each party was ordered to bear its own costs.

Key legal issues

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01

Execution of transfer documents by the court where the judgment debtor cannot be traced

Holding

The court directed its Deputy Registrar to execute the transfer and land control board documents under Section 98 of the Civil Procedure Act

Reasoning

The 2nd Defendant never entered appearance despite service and cannot be traced, yet a decree of 7th March 1988 obliged him to pay the Plaintiff. Section 98 empowers the court to nominate a person to execute a conveyance where a party refuses to comply with a decree, and such execution is as effective as if done by the judgment debtor. This enables the auction purchaser, who paid the full purchase price, to receive the property.

p. 3
02

Dispensing with production of the original title

Holding

The Land Registrar, Nyandarua County, was directed to dispense with production of the original title and effect the transfer

Reasoning

Section 31 of the Land Registration Act ordinarily requires production of the certificate of title on registration of a dealing, but permits the Registrar to dispense with it. Where the losing party obstructs registration of a forced sale, as in Simon Ng'ang'a Njoroge v Daniel Kinyua Mwangi and Murea v Njuguna, it is just to dispense with production so the decree-holder enjoys the fruits of judgment.

p. 4
03

Extension of time for Land Control Board consent for agricultural land

Holding

The court, under Section 8(1) of the Land Control Act, directed execution of the application for land control board consent

Reasoning

The suit land is agricultural land, so the controlled transaction required land control board consent. Although the six-month statutory period under Section 8(1) had long expired, the proviso empowers the High Court to extend the period where there is sufficient reason, and the court facilitated the consent application by ordering execution of the necessary documents.

p. 3

Legal principles established

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  • Where a person neglects or refuses to comply with a decree directing execution of a conveyance, the court may order execution by a nominee, and such execution is as effective as if done by the person originally directed
  • Where a party makes it difficult for property to be transferred to a bona fide purchaser, the court may direct the Land Registrar to dispense with production of the title
  • The High Court may extend the six-month period for obtaining Land Control Board consent where there is sufficient reason
  • A certificate of sale issued under Order 22 Rule 79 of the Civil Procedure Rules is conclusive proof of legal ownership of auctioned land

Court orders

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  1. 1.The Deputy Registrar of the court directed to execute the transfer, the application for consent of the land control board, and all other documents necessary to effect the transfer of LR No. Nyandarua/Karati/728 to John Mathara Mwangi
  2. 2.The Land Registrar, Nyandarua County, directed to dispense with production of the original title for Nyandarua/Karati/728 and effect the transfer to John Mathara Mwangi
  3. 3.Each party to bear their own costs of the application

Authorities

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Legislation

  • Civil Procedure ActSections 3, 3A and 98
  • Civil Procedure Rules 2010Order 51 Rule 1; Order 22 Rule 79
  • Land Registration Act, No. 3 of 2012Section 31
  • Land Control ActSection 8(1)
  • Consolidated Bank of Kenya ActNot specified
  • Legal Notice No. 136Vesting of undertakings of the Plaintiff in Consolidated Bank of Kenya Limited

Cases cited (2)

  • Simon Ng'ang'a Njoroge vs Daniel Kinyua Mwangi
    [2016] eKLR
  • Murea vs Njuguna
    [2022] KEELC 2998 (KLR)
Jurisdiction invoked
Sections 3, 3A and 98 of the Civil Procedure Act; Order 51 Rule 1 of the Civil Procedure Rules 2010; Section 31 of the Land Registration Act; Section 8(1) of the Land Control 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, "Nationwide Finance Co. Ltd v Industries & another; Mbuthia & another (Interested Parties) (Environment & Land Case 3231 of 1985) [2025] KEELC 3224 (KLR)", Case Analysis (2025). . Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2025/3224/eng@2025-04-08

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