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ELCPartially AllowedNot stated in the judgment (appeal against BPRT Case No. E1385 of 2025)· [2026] KEELC 2408 (KLR)

Phelix v Melrok Energy Limited & another (Land Case Appeal E032 of 2026) [2026] KEELC 2408 (KLR)

Environment and Land Court (Court hearing appeal from the Business Premises Rent Tribunal)
30 April 2026
2,485 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~10 min to read original · ~4 min brief

The bottom line

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A Kenyan tenant won protection from eviction pending appeal, but his contempt case failed because the court's earlier order was not clear enough.

What this practically means

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Executive summary

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This ruling by E. K. Wabwoto, J determines two consolidated applications arising from an appeal against a Business Premises Rent Tribunal ruling delivered on 19th February 2026 in BPRT Case No. E1385 of 2025. The first application sought stay of execution of the Tribunal ruling and a temporary injunction restraining distress, eviction or interference with the Appellant's possession of Shop No. 3 on L.R. No. 136/7879 pending appeal. The second sought citation of the Respondents for contempt of interim orders issued on 9th March 2026 following a lockout on 30th March 2026 and a vacation/double-distress notice dated 8th April 2026. The Respondents raised a preliminary objection on jurisdiction, contending the disputes fell within the BPRT's exclusive jurisdiction under Cap 301, that the statutory termination notice had lapsed unchallenged, and that no order was disobeyed. The Court found it properly seized of the appeal, stay and contempt applications notwithstanding the Tribunal's exclusive jurisdiction. On stay and injunction, applying Butt v Rent Restriction Tribunal and Giella v Cassman Brown, the Court found a prima facie arguable appeal on fair hearing and termination-notice issues, substantial loss going beyond monetary compensation, promptness, and adequate security already furnished. On contempt, applying Mutitika v Baharini Farm Ltd, the Court held the interim orders contained no clear prohibitory order against termination or possession, and contempt was not proved to the required standard. The Court maintained the status quo pending appeal with the Appellant remaining in possession but not operating the business, stayed execution, dismissed the contempt application, and made costs of both applications in the cause.

Key legal issues

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01

Jurisdiction over the applications notwithstanding the BPRT's exclusive jurisdiction over controlled tenancies

Holding

The Court has jurisdiction over the appeal, stay pending appeal and contempt of its own orders

Reasoning

The Court held that while the Tribunal has exclusive jurisdiction over controlled tenancy disputes under Sections 4, 6 and 12 of Cap 301, the power to hear appeals from the BPRT is conferred by Section 12 of the same Act. The preliminary objection did not oust the Court's jurisdiction over the pending appeal or enforcement of its interim orders.

p. 4
02

Stay of execution and temporary injunction pending appeal

Holding

Granted: arguable appeal, substantial loss beyond monetary compensation, no delay, adequate security furnished

Reasoning

The Court found arguable points on procedural fairness before the BPRT and conformity of the termination notice. Loss of goodwill, clientele and staff livelihoods since 2019 would render the appeal nugatory. The application was filed promptly and the Appellant had paid Kshs. 600,000/- as ordered, which the Respondents acknowledged. The balance of convenience favoured preserving the status quo pending appeal under the overriding objective.

p. 4
03

Contempt of the interim orders of 9th March 2026

Holding

Not proved; contempt application dismissed

Reasoning

The Court held that contempt requires willful disobedience of a clear, unambiguous order known to the contemnor, strictly proved per Mutitika v Baharini Farm Ltd. The interim orders of 9th March 2026 granted only a conditional stay and did not restrain the Respondents from exercising statutory and contractual rights of termination or possession. The lockout and subsequent notice were adverse but not willful disobedience of a specific directive.

p. 5

Legal principles established

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  • Substantial loss for purposes of a stay pending appeal is not limited to monetary loss but includes loss of goodwill, clientele, livelihood and business disruption
  • Contempt of court in civil proceedings requires willful disobedience of a clear, unambiguous order of which the contemnor had knowledge, proved strictly
  • An appeal court seized of an appeal from the BPRT has jurisdiction over stay pending appeal and contempt of its own interim orders, notwithstanding the Tribunal's exclusive jurisdiction over controlled tenancies

Court orders

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  1. 1.The current status quo as directed by this Court on 14th April 2026 shall be maintained pending the hearing and determination of the appeal
  2. 2.The Appellant shall remain in possession of Shop No. 3 on L.R. No. 136/7879 but shall not operate his business therein
  3. 3.Execution of the BPRT ruling delivered on 19th February 2026 and any further distress, eviction, auction or adverse action by the Respondents is stayed
  4. 4.The Respondents are restrained from interfering with the Appellant's quiet possession of the said premises on the aforesaid terms
  5. 5.The application citing the Respondents for contempt dated 31st March 2026 is dismissed
  6. 6.The costs of both applications shall be in the cause of the appeal

Authorities

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Legislation

  • Constitution of Kenya, 2010Article 50
  • Constitution of Kenya, 2010Article 159(2)
  • Civil Procedure Act (Cap 21)Sections 1A and 1B
  • Landlord and Tenant (Shops, Hotels and Catering Establishments) Act (Cap 301)Sections 4, 6 and 12
  • Civil Procedure Rules, 2010Order 42 Rule 6

Cases cited (5)

  • Butt v Rent Restriction Tribunal
    [1982] KLR 417
  • Giella v Cassman Brown & Co Ltd
    [1973] EA 358
  • Samuel M.N. Mweru & Others v National Land Commission & 2 others
    [2020] eKLR
  • Cecil Miller v Jackson Njeru & Another
    [2017] eKLR
  • Mutitika v Baharini Farm Ltd
    [1985] KLR 227
On appeal from
Business Premises Rent Tribunal (BPRT)
BPRT Case No. E1385 of 2025
Jurisdiction invoked
Section 12 of the Landlord and Tenant (Shops, Hotels and Catering Establishments) Act (Cap 301); Order 42 Rule 6 of the Civil Procedure Rules, 2010; contempt of Court's own orders

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, "Phelix v Melrok Energy Limited & another (Land Case Appeal E032 of 2026) [2026] KEELC 2408 (KLR)", Case Analysis (2026). Not stated in the judgment (appeal against BPRT Case No. E1385 of 2025). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2026/2408/eng@2026-04-30

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