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ELCDismissedNotice of Motion dated 17th March 2025 (suit number not stated in judgment)· [2025] KEELC 7665 (KLR)

Kiririu v Equity Bank Kenya Limited & 2 others; Michere (Interested Party) (Environment and Land Case E117 of 2024) [2025] KEELC 7665 (KLR)

Environment and Land Court
31 October 2025
TMT. Murigi
1,525 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Kenya's Environment and Land Court confirmed it can hear disputes over irregular sales of charged land, dismissing an attempt to strike out a title-transfer challenge.

What this practically means

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Executive summary

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This ruling of the Environment and Land Court by Hon. T. Murigi, Judge, determined a Notice of Motion dated 17th March 2025 in which the Applicant, who purchased the suit property (Nairobi/Block 105/1855) from the 1st Defendant, sought striking out or dismissal of the Plaintiff's suit for want of jurisdiction, vacation of orders issued on 21st March 2023 and expungement of their registration from the title, and costs. The Applicant argued that disputes over charges, mortgages and undervaluation on exercise of a statutory power of sale fall exclusively within the High Court's jurisdiction. The Plaintiff opposed, contending that the suit challenges the irregular sale and attempted transfer of title, not commercial accounts, and thus falls within the ELC's jurisdiction. The Interested Party relied on Section 13 of the ELC Act and authorities including Kisimani Holdings and Owners of Motor Vessel 'Lillian S' to urge want of jurisdiction. The Plaintiff relied on Lydia Nyambura Mbugua v Diamond Trust Bank. The court, citing Order 2 Rule 15(1) of the Civil Procedure Rules, Co-operative Merchant Bank v Wekesa, Lillian S and Samuel Kamau Macharia, held that although the property was sold in exercise of a statutory power of sale, the real issue was whether title should be transferred to the Interested Party, a dispute relating to land within its jurisdiction under Article 162(2)(b) and Section 13 of the ELC Act. The application was dismissed with costs.

Key legal issues

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01

Whether the Environment and Land Court has jurisdiction over a suit contesting the sale and transfer of a charged property

Holding

The court has jurisdiction; although the sale arose from exercise of a statutory power of sale, the dispute as pleaded concerns the irregular sale and attempted transfer of title to land, matters within Section 13 of the ELC Act

Reasoning

The Applicant argued that disputes on charges and mortgages, including undervaluation on sale, belong to the High Court. The court held that what the Plaintiff is actually contesting is the transfer of title to the suit property, an interest in land, which falls squarely within the ELC's jurisdiction under Article 162(2)(b) and Section 13 of the ELC Act. Accordingly the jurisdictional attack failed.

p. 4
02

Whether the suit should be struck out as disclosing no cause of action or as an abuse of process

Holding

The application to strike out was dismissed as devoid of merit

Reasoning

Applying Order 2 Rule 15(1) of the Civil Procedure Rules and the Co-operative Merchant Bank v Wekesa principle that striking out is draconian and reserved for plain cases, the court found no basis to strike out the suit since it had jurisdiction over the dispute as framed by the Plaintiff.

p. 4

Legal principles established

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  • Striking out a pleading is a draconian act which may only be resorted to in plain cases and must be exercised with the greatest care
  • A court's jurisdiction flows from the Constitution or legislation and cannot be expanded by judicial craft
  • The ELC has jurisdiction over disputes on transfer of title to land even where the sale arose from exercise of a statutory power of sale on a charged property

Court orders

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  1. 1.The Notice of Motion dated 17th March 2025 is dismissed
  2. 2.Costs of the application awarded to the Plaintiff

Authorities

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Legislation

  • Civil Procedure RulesOrder 2 Rule 15(1)
  • Environment and Land Court ActSection 13
  • Constitution of KenyaArticle 162(2)(b)

Cases cited (6)

  • Kisimani Holdings Limited & another vs Fidelity Bank Limited
    (2013) eKLR
  • Chaurembo Mumba & 7 others vs Maurice Munyao & 148 others
  • Owners of Motor Vessel "Lillian S" vs Caltex Oil (Kenya) Ltd
    (1989) eKLR
  • Lydia Nyambura Mbugua v Diamond Trust Bank Kenya Limited and another
    (2018) eKLR
  • Co-operative Merchant Bank Ltd v George Fredrick Wekesa
    Civil Appeal No. 54 of 1999
  • Samuel Kamau Macharia & Another vs Kenya Commercial Bank Limited & 2 Others
    [2012] eKLR
Jurisdiction invoked
Article 162(2)(b) of the Constitution and 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, "Kiririu v Equity Bank Kenya Limited & 2 others; Michere (Interested Party) (Environment and Land Case E117 of 2024) [2025] KEELC 7665 (KLR)", Case Analysis (2025). Notice of Motion dated 17th March 2025 (suit number not stated in judgment). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2025/7665/eng@2025-10-31

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