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ELCPartially AllowedNot stated in the judgment (Memorandum of Appeal dated 17th February 2025)· [2026] KEELC 472 (KLR)

Ong’undi v Odhiambo (Environment and Land Appeal E011 of 2025) [2026] KEELC 472 (KLR)

Environment and Land Court
5 February 2026
2,248 words in judgment
View original judgmentRead on Kenya Law Watch case
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·~9 min to read original · ~4 min brief

The bottom line

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A land buyer lost a Kshs. 2.3 million refund order because he couldn't prove the seller actually received his money.

What this practically means

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Executive summary

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This is a first appeal to the Environment and Land Court at Kisumu (E. Asati, J) against the judgment and decree of the trial court in Kisumu MCELC Case No. 447 of 2018. The respondent had sued the appellant over land known as Kisumu/Karateng/1282, claiming he had paid Kshs. 3,305,509/= towards an agreed purchase price of Kshs. 4,900,000/= under a land sale agreement dated 21st December 2015, and sought specific performance or a refund with interest. The trial court entered judgment for Kshs. 2,307,509/= as a refund, relying on a draft defence on the court file in which the defendant was said to have admitted receipt of that sum, and on the evidence of PW2. On appeal, the appellant contended there was no proof that money was ever paid to or received by him, and that the trial court relied on a draft pleading not produced as an exhibit. The appellant cited authorities on burden of proof; the respondent filed no submissions despite service. Re-evaluating the evidence as a first appellate court, the judge found no evidence of payment to or receipt by the appellant, no banking documents, no clause permitting payment through the appellant's advocates, and held that a draft defence is not a pleading. Applying KCB v Osebe and Olegasalie New Properties v Lematasho, the court found the refund decree lacked factual and legal foundation. The appeal was allowed, the trial judgment was set aside and substituted with an order dismissing the respondent's suit. On costs, although costs ordinarily follow the event under section 27 of the Civil Procedure Act, the court found it unconscionable to burden the respondent with appeal costs since PW2 admitted receiving money from him; each party was ordered to bear its own costs of the appeal.

Key legal issues

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01

Burden of proof of payment of the purchase price

Holding

The burden rested on the respondent to prove that he paid the money to the appellant or that the appellant received it, and that burden was not discharged on a balance of probabilities

Reasoning

The respondent testified that he paid the money through his lawyer to the appellant's lawyer, but the land sale agreement contained no express clause requiring payment through the appellant's advocates. PW2 acknowledged receipt of Kshs. 2,307,509/= but no bank statements, pay-in-slips or other documentary evidence were produced to show the money reached the appellant. The appellant denied receipt of any amount.

p. 4
02

Reliance on a draft defence as a pleading

Holding

The draft defence relied on by the trial court (in which the defendant was said to have admitted receiving Kshs. 2,307,509/=) was not a pleading in the case and could not support judgment

Reasoning

The trial court had based its finding of an admission on a draft statement of defence attached to an application for setting aside interlocutory judgment. The appellate court held that such a draft was not a pleading in the case, so the purported admission could not found the decree for refund.

p. 4
03

Foundation for an order of refund

Holding

In the absence of evidence that money was paid to the appellant and of a clause allowing payment through the appellant's advocate, the trial court erred in finding for the respondent

Reasoning

Relying on KCB v Osebe and Olegasalie New Properties Limited v Lematasho, the court reasoned that a refund order requires a factual and legal foundation and that restitution presupposes unjust enrichment under an enforceable or partially performed contract. With no proof of payment, the refund decree could not stand.

p. 5

Legal principles established

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  • A first appellate court must reconsider the whole evidence, re-evaluate it and arrive at its own independent conclusion while making due allowance for not having seen or heard the witnesses
  • A court must be satisfied of the factual and legal foundation of an order before granting it
  • Restitution by way of refund of the purchase price arises only where a party has been unjustly enriched under an enforceable or at least partially performed contract

Court orders

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  1. 1.Appeal allowed
  2. 2.Judgment of the trial court set aside and replaced with a judgment dismissing the respondent's suit
  3. 3.Each party to bear own costs of the appeal
On appeal from
Magistrates' Court, Kisumu (ELC)
Kisumu MCELC Case No. 447 of 2018
Jurisdiction invoked
First appellate jurisdiction over a magistrates' court decree (Civil Procedure Act); appeal against judgment and decree dated 21st January 2025

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, "Ong’undi v Odhiambo (Environment and Land Appeal E011 of 2025) [2026] KEELC 472 (KLR)", Case Analysis (2026). Not stated in the judgment (Memorandum of Appeal dated 17th February 2025). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2026/472/eng@2026-02-05

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