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ELCDismissedNot stated in the excerpt provided· [2025] KEELC 4558 (KLR)

Chepkelat & another (Suing as the Legal Administrators of the Estate of Michael Kipkoskei Chepkelat) v Mureithi & 8 others (Environment & Land Case E077 of 2024) [2025] KEELC 4558 (KLR)

Environment and Land Court
18 June 2025
3,334 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~13 min to read original · ~4 min brief

The bottom line

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Kenya's Environment and Land Court ruled that fraud-based time limits can only be decided at trial, so a landowner's suit challenging a fraudulent transfer will proceed.

What this practically means

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Executive summary

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This ruling of the Environment and Land Court at Nakuru (M. A. Odeny, J) determined three preliminary objections raised by the 1st, 3rd, 5th and 9th Defendants seeking to strike out the Plaintiff's suit. The 1st, 3rd and 5th Defendants argued that the suit, challenging a fraudulent transfer of land arising from a charge and public auction conducted in May 2011, was time-barred under the Limitation of Actions Act, Cap 22. The 9th Defendant (apparently the chargee/lender) contended that the dispute over charges and mortgage dues lies exclusively with the High Court/Commercial Court, not the ELC. The Plaintiff countered that she discovered the fraud in December 2023 upon obtaining a certified green card and reported it to Kaptembwo Police Station in February 2024, so under section 26 of the Limitation of Actions Act time ran from discovery; and that the predominant issue was the fraudulent transfer of title, within the ELC's jurisdiction under Article 162(2)(b) and section 13 of the Environment and Land Court Act. The court held that a limitation defence founded on pleaded fraud must be determined at trial on evidence, not by preliminary objection, and that time began running in December 2023. Applying the predominant purpose test, it further held that the dispute concerns title to land, not charge accounts, so the ELC has jurisdiction. All three preliminary objections were dismissed with costs to the Plaintiff on 18th June 2025.

Key legal issues

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01

Whether limitation can be raised by preliminary objection where fraud is pleaded

Holding

It cannot; limitation based on fraud must be decided at trial on evidence. Since the Plaintiff pleaded discovery of fraud in December 2023, time began running then and the suit is not time-barred.

Reasoning

The court adopted authority holding that limitation defences require evidence at trial. Fraud was pleaded with discovery in December 2023 and a police report in February 2024; section 26 of the Limitation of Actions Act postulates that limitation does not begin to run until discovery of the fraud, a fact ascertainable only at trial.

p. 5
02

Whether the ELC has jurisdiction over a dispute arising from a fraudulent transfer of charged land

Holding

The ELC has jurisdiction because the predominant issue is the fraudulent transfer affecting title to land, not the charge accounts.

Reasoning

Relying on Article 162(2)(b) and section 13 of the Environment and Land Court Act, and applying the predominant purpose test, the court found the pleadings raise no claim on accounts or charges but challenge fraudulent transfers affecting title, which falls squarely within the ELC's jurisdiction.

p. 6

Legal principles established

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  • A defence of limitation of time based on alleged fraud is a matter for determination at trial and cannot be resolved summarily by preliminary objection
  • Under section 26 of the Limitation of Actions Act, where an action is based on fraud, limitation runs from discovery of the fraud
  • Where a dispute is hybrid, the predominant purpose test determines whether the ELC or High Court has jurisdiction

Court orders

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  1. 1.The 1st, 3rd, 5th and 9th Defendants' preliminary objections are dismissed
  2. 2.Costs of the preliminary objections awarded to the Plaintiff

Authorities

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Legislation

  • Limitation of Actions ActCap 22, Sections 4, 7, 16, 26
  • Land ActSection 150
  • Land Registration ActSections 26, 101
  • Environment and Land Court ActSection 13(2)(a & d)
  • Constitution of KenyaArticles 162(2)(b), 165(5)

Cases cited (23)

  • Justus Tureti Obara vs Peter Koipeitai
    [2014] eKLR / [2014] KEHC 7219 (KLR)
  • Delilah Ondari vs Francis Ondieki Atandi
    Nyamira ELC Case No 4 of 2021
  • Joseph Mwaniki Muchira vs Godfrey Muchangi
    [2018] eKLR / [2018] KEHC 1130 (KLR)
  • Suzanne Achieng Butier & 4 others vs Redhill Heights Investments Limited & Another
    (2016) eKLR / (2017) eKLR
  • Lydia Nyambura Mbugua vs Diamond Trust Bank Kenya Limited & another
    [2018] eKLR
  • Thabiti Capital Limited vs Equity Bank (Kenya) Limited & Another
  • Co-operative Bank of Kenya Limited vs Patrick Kangethe Njuguna & 5 others
    (2017) eKLR
  • Gichari & Another vs Muchiri
    (Environment & Land Case E010 of 2023) [2024] KEELC 1519
  • Susan Wanjiru Waweru vs Musa Kimengich Kimuge
    [2019] eKLR
  • Gathoni vs Kenya Co-operative Creameries Ltd
    [1982] KLR 104
  • Sohanlal Durgadass Rajput & Another vs Divisional Integrated Development Programmes Co Ltd
    [2021] KEELC 1427 (KLR)
  • Mukisa Biscuits Manufacturing Ltd vs West End Distributors Ltd
    [1969] EA 696
  • Cherwon vs Kisekem Limited & 3 others
    (Civil Appeal 240 of 2019) [2014] KECA 482
  • David Limo Bindotich vs Housing Finance Company of Kenya Limited
    [2022] eKLR
  • Thomas Mutuku Kasue vs Housing Finance Company Ltd (HFC) & another
    [2021] eKLR
  • Phoenix of E.A Assurance Company Limited vs M. Thiga t/a Newspaper Service
    [2019] eKLR
  • Sichuan Huashi Enterprises Corp. Limited v Micheal Misiko Muhindi
    [2019] eKLR
  • Oruta & Another vs. Nyamato
    [1998] KLR 590
  • Divecon Ltd vs Shirinkhanu S. Samani
    Civil Appeal No. 142 of 1997
  • Owners of the Motor Vessel "Lilian S" vs Caltex Kenya Limited
    [1989] KLR 1
  • Samuel Kamau Macharia & Another vs Kenya Commercial Bank Limited & Others
    (2012) eKLR
  • Kisekem Limited v National Bank of Kenya Limited
    (Land Case E014 of 2023) (2024) KEELC 5233 (KLR)
  • Republic vs Chairman, Business Premises Rent Tribunal & another Exparte Carrington Complex Limited
    [2019] eKLR
Jurisdiction invoked
Article 162(2)(b) of the Constitution; Section 13 of the Environment and Land Court 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, "Chepkelat & another (Suing as the Legal Administrators of the Estate of Michael Kipkoskei Chepkelat) v Mureithi & 8 others (Environment & Land Case E077 of 2024) [2025] KEELC 4558 (KLR)", Case Analysis (2025). Not stated in the excerpt provided. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2025/4558/eng@2025-06-18

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