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ELCAllowedRRC E259 of 2024 (appeal); Tribunal suits RRC E259 of 2024 and RRC E529 of 2024· [2025] KEELC 4019 (KLR)

Inca Block Limited & 2 others v Daniel (Environment and Land Appeal E109 of 2024) [2025] KEELC 4019 (KLR)

High Court of Kenya
16 May 2025
TMT. MURIGI
1,914 words in judgment
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The bottom line

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The High Court paused a rent tribunal's eviction-related orders, confirming that proving actual loss and offering security are essential for a stay in Kenya.

What this practically means

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Executive summary

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This is a ruling by T. Murigi J dated 16th May 2025 on the Appellants' Notice of Motion dated 29th July 2024 seeking stay of execution of orders issued on 25th July 2024 in RRC E259 of 2024 and stay of proceedings in RRC E529 of 2024 pending appeal. The dispute arises from a Tribunal suit by the Respondent alleging closure of her premises by the landlord; although the Appellants filed a preliminary objection challenging the Tribunal's jurisdiction, the Tribunal issued re-entry orders and further orders for non-compliance. The application was unopposed despite service and was canvassed by written submissions. The court framed a single issue: whether the Appellants were entitled to the orders sought. Applying Order 42 Rule 6 of the Civil Procedure Rules and the Butt v Rent Restriction Tribunal guidelines, the court found the Appellants had demonstrated substantial loss given the suit property was leased to another tenant and the appeal raised the jurisdiction of the Tribunal; the application was filed within four days of the impugned order, satisfying the delay condition; and the Appellants' expressed willingness to provide security met the mandatory security requirement. The application was allowed: stay of execution of the 25th July 2024 order and stay of proceedings in RRC E529 of 2024 were granted pending determination of the appeal, conditional on deposit of Kshs. 100,000/= as security within 45 days, failing which the stay lapses. Each party was ordered to bear its own costs.

Key legal issues

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01

Whether the applicants satisfied the conditions for stay of execution/proceedings pending appeal under Order 42 Rule 6

Holding

Yes; substantial loss shown (premises leased to another tenant and jurisdictional appeal pending), application filed within days of the order, and security tendered.

Reasoning

The court applied Order 42 Rule 6 and the Butt guidelines: stay is discretionary and should not render an appeal nugatory. The appellants demonstrated re-entry orders would cause irreparable loss given the lease to another tenant and the pending jurisdictional challenge. The application was filed on 29th July 2024, days after the 25th July 2024 order, so no undue delay. The applicants' expressed willingness to provide security satisfied the mandatory security condition, with the amount left to the court's discretion.

p. 4

Legal principles established

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  • Applicants for stay of execution must prove, not merely assert, substantial loss.
  • Security under Order 42 Rule 6 is to guarantee due performance of the decree, not to punish the judgment debtor.

Court orders

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  1. 1.Stay of execution of the order issued on 25th July 2024 in RRC E259 of 2024 granted pending the hearing and determination of the Appeal
  2. 2.Stay of proceedings in RRC E529 of 2024 granted pending the hearing and determination of the appeal
  3. 3.Applicants to deposit Kshs. 100,000/= as security for costs in court within 45 days, in default the stay orders shall automatically lapse
  4. 4.Each party to bear its own costs

Authorities

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Legislation

  • Constitution of KenyaArticle 25
  • Civil Procedure ActSections 1A, 1B, 3A
  • Civil Procedure RulesOrder 42 Rule 6

Cases cited (10)

  • Butt v Rent Restriction Tribunal
    [1979] KECA 22 (KLR); (1982) KLR 417
  • Tropical Commodities Suppliers Ltd & Others v International Credit Bank Ltd (in liquidation)
    [2004] 2 EA 331
  • James Wangalwa & another v Agnes Naliaka Cheseto
    [2012] eKLR
  • First National Finance Bank Limited v Universal Apparels (EPZ) Ltd & 2 others
    [2017] KEHC 10060 (KLR)
  • RWW v EKW
    [2019] eKLR
  • Consolidated Marine Vs Nampijja & Another
    Civil App No. 93 of 1989 (Nairobi)
  • Charles Wahome Gethi Vs Angela Wairimu Gethi
    (2008) eKLR
  • Mukuma Vs Abuoga
    (1988) KLR
  • Arun C Sharma Vs Ashana Rakundalia T/A Raikundalia & Co. Advocates & 2 Others
    (2014) eKLR
  • Focin Motorcycle Co. Limited v Ann Wambui Wangui & another
    [2018] KEHC 8358 (KLR)
On appeal from
Business Premises Rent Restriction Tribunal (Tribunal)
RRC E259 of 2024
Jurisdiction invoked
Order 42 Rule 6 of the Civil Procedure Rules; Sections 1A, 1B and 3A of the 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, "Inca Block Limited & 2 others v Daniel (Environment and Land Appeal E109 of 2024) [2025] KEELC 4019 (KLR)", Case Analysis (2025). RRC E259 of 2024 (appeal); Tribunal suits RRC E259 of 2024 and RRC E529 of 2024. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2025/4019/eng@2025-05-16

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