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ELCPartially AllowedELC Case 358 of 2012 (formerly HCCC)

Manchester Outfitters Limited & 2 others v Galot Holdings Limited & 3 others (Environment and Land Case 358 of 2012) [2025] KEELC 6626 (KLR)

Environment and Land Court
2 October 2025
10,490 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~42 min to read original · ~4 min brief

The bottom line

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The Environment and Land Court confirmed George Gilbert Advocates as Manchester Outfitters' lawful lawyers and voided an attempt to withdraw the long-running Galot land suit.

What this practically means

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Executive summary

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This ruling of the Environment and Land Court (Angote J) resolved an intra-suit contest over who may represent the 1st Plaintiff, Manchester Outfitters Limited. On 14th July 2025 Havi & Company Advocates filed a Notice of Change of Advocates replacing George Gilbert Advocates and contemporaneously a Notice of Withdrawal of the suit, acting on instructions of Narendra Galot, administrator of the estate of Lalchand Galot and holder of a management share by transmission. George Gilbert Advocates immediately re-took position on record, asserting instructions from directors appointed by the late Mohan Galot, who died on 18th June 2025. The court framed two issues: which firm should be on record, and whether the withdrawal was lawful. Relying on the binding three-judge bench decision in HCCC No. 55 of 2012 (11th April 2024) confirming Mohan Galot as sole and Governing Director, and on Salomon v Salomon and Section 92(3) of the Companies Act as applied in Clement Muturi Kigano, the court held Narendra was unregistered and thus not a shareholder, lacking authority to appoint counsel. Instructions from a validly appointed director survive his death under the doctrine of perpetual succession until lawfully revoked. On withdrawal, the suit having been set down for hearing on 16th and 17th July 2025, Order 25 Rule 2 required consent of all parties or leave of court; neither existed. The court declared George Gilbert Advocates properly on record, nullified Havi & Company's appointment and the Notice of Withdrawal, directed priority hearing, and ordered each party to bear its own costs. Questions of directorship and shareholding were left to the High Court.

Questions the Court framed

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The issues the Court set itself to decide, in its own words.

  1. 1.Which firm of advocates should be on record for the 1st Plaintiff?
  2. 2.Whether this suit was lawfully withdrawn on 14th July 2025?

Key legal issues

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01

Proper legal representation of the 1st Plaintiff

Holding

George Gilbert Advocates is properly on record; Havi & Company Advocates' appointment was a nullity

Reasoning

The three-judge bench in HCCC No. 55 of 2012 confirmed Mohan Galot as sole director and Governing Director with power to appoint directors. He instructed George Gilbert Advocates. Narendra Galot, being unregistered under Section 92(3) of the Companies Act, was not a shareholder and lacked authority to appoint counsel. Instructions given by a validly appointed director bind the company notwithstanding his death, absent lawful revocation.

p. 17
02

Lawfulness of the withdrawal of the suit on 14th July 2025

Holding

The Notice of Withdrawal was null and void ab initio

Reasoning

Havi & Company Advocates lacked authority, so the notice of withdrawal was void. Even if instructed, Order 25 Rule 2 applied because the suit was set down for hearing on 16th and 17th July 2025, requiring written consent of all parties or leave of court. Neither was obtained.

p. 1
03

Jurisdiction over directorship and shareholding questions

Holding

The ELC lacks jurisdiction; those issues belong to the High Court and are partially res judicata

Reasoning

The court held it is a court of concurrent jurisdiction that cannot sit on appeal over a bench of equal or superior composition, and its jurisdiction is limited to environment and land disputes. Consequences of Mohan Galot's demise on directorship are pending in HCCOM No. E256 of 2024 and Petition No. E027 of 2024 before the High Court.

p. 14

Legal principles established

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  • A person becomes a shareholder only upon registration in the register of members
  • Instructions given by a duly authorised director survive his death until lawfully revoked by the company
  • A suit already set down for hearing may only be withdrawn with written consent of all parties or by leave of court under Order 25 Rule 2

Court orders

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  1. 1.It is hereby declared that the firm of George Gilbert Advocates is properly and lawfully on record for the 1st Plaintiff, having been duly appointed by the late Mohan Galot in his capacity as the sole director of the company
  2. 2.The firm of Havi & Company Advocates is found to have been irregularly appointed, and the Notice of Change of Advocate and the Notice of Withdrawal of Suit, both dated 14th July 2025, are hereby declared null and void ab initio and of no legal effect
  3. 3.This suit shall be fixed for hearing on a priority basis
  4. 4.Each party shall bear its own costs

The bench

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One judgment of the whole court — no separate or dissenting opinions.

majority

Wrote the judgment

Jurisdiction invoked
Environment and Land Court jurisdiction limited to disputes relating to environment and land; intra-suit question of the 1st Plaintiff's proper representation

Relief refused

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Determination of directorship and shareholding questions raised by Narendra Galot

Court lacks jurisdiction and would risk conflicting with pending High Court proceedings

p. 14

Costs

Each party shall bear its own costs.

Quotable passages

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Verbatim from the judgment, each located to the page it appears on in the official PDF — so these can be cited and checked directly.

i. It is hereby declared that the firm of George Gilbert Advocates is properly and lawfully on record for the 1st Plaintiff, having been duly appointed by the late Mohan Galot in his capacity as the sole director of the company.
p. 18final orders - legal representation
The firm of Havi & Company Advocates is found to have been irregularly appointed, and the Notice of Change of Advocate and the Notice of Withdrawal of Suit, both dated 14th July 2025, are hereby declared null and void ab initio and of no legal effect.
p. 18final orders - nullity of appointment and withdrawal
“ Registration confers title. Without registration, an applicant is not the holder of a share or a member of the company: the share has not been issued to him. No person can be a shareholder until he is registered.”
p. 15shareholder title requires registration
instructions given to an advocate are instructions of the company, not of the individual director personally.
p. 16perpetual succession and corporate instructions
This suit shall be fixed for hearing on a priority basis.
p. 18final orders - expedited hearing
Each party shall bear its own costs.
p. 18final orders - costs

Issues in the judgment

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minor

Judgment refers to an affidavit by Narendra Galot sworn on 2nd September 2015, which on the chronology should almost certainly be 2025

minor

The Court of Appeal decision in the Beijing case is cited with inconsistent citation numbers (375 and 365)

minor

Counsel is variously referred to as 'Mr. Gorge Gilbert' and the firm as 'George Gilbert LLP Advocates' and 'George Gilbert Advocates'

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, "Manchester Outfitters Limited & 2 others v Galot Holdings Limited & 3 others (Environment and Land Case 358 of 2012) [2025] KEELC 6626 (KLR)", Case Analysis (2025). ELC Case 358 of 2012 (formerly HCCC). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2025/6626/eng@2025-10-02

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