Bungoma Teachers Housing & Investment Co-operative Society Ltd v Bonito Properties Ltd (Environment and Land Case E023 of 2025) [2026] KEELC 3145 (KLR)
The bottom line
#A Kenyan court ordered a hotel tenant to pay over Kshs 47 million in unpaid rent and halted all construction, because eleven years of occupation without payment left no real defence.
What this practically means
#Executive summary
#Key legal issues
#Whether a mandatory injunction should issue compelling payment of rent arrears at the interlocutory stage
Yes; the defendant admitted the lease, occupied for 11 years, and led no evidence of payment of rent or of the profit-sharing contemplated by clause 19, making the claim clear and undisputed.
The court observed that the defendant did not dispute entering the lease and had occupied the suit premises since August 2014. It neither proved payment of rent nor remittance of profits under clause 19. Rent was computed from when the hotel became operational under clause 20(b). The claim being clear and undisputed, the strict conditions for a mandatory injunction were met.
Whether a plaintiff claiming rent on a lease it simultaneously challenges can obtain relief
Yes; rent remains payable for occupation even if the lease were found voidable, so the claim was not contradictory in a way defeating relief.
The defendant argued the plaintiff could not rely on the lease while seeking its nullification. The court reasoned that rent is payable by virtue of occupation independent of the lease's validity, so the plaintiff could claim rent based on occupation while questioning aspects of the lease, and the claim was not an abuse of process.
Whether a temporary injunction should issue restraining construction works on the suit premises
Yes; the plaintiff established a prima facie case through ownership of the land and demonstrated breach of the registered capital lease.
The plaintiff proved ownership of Bungoma Municipality/457, on which the premises stand, and demonstrated that the defendant breached the registered capital lease after taking possession. The defendant's construction and improvements were undertaken without the plaintiff's consent, justifying a temporary injunction until further orders.
Legal principles established
#- A mandatory injunction may issue where the plaintiff's claim is clear and undisputed and the defendant's default is plain
- Even where a lease is voidable, rent remains payable for occupation of the premises
- Ownership of land on which premises stand, coupled with a lease and breach thereof, establishes a prima facie case for injunctive relief
Court orders
#- 1.A mandatory injunction directing the defendant to pay the plaintiff accrued rent arrears of Kshs. 47,250,170/= for the period 1/8/2014 up to August 2025
- 2.A temporary injunction restraining the defendant from erecting, improving, adding to or continuing with any construction works on the premises erected on Bungoma Township/457 also known as Bungoma Tourist Hotel until further orders of the court
- Jurisdiction invoked
- Original civil jurisdiction of the Environment and Land Court over a dispute concerning land parcel Bungoma Township/457 and a registered lease; no specific provision invoked in the judgment
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Bungoma Teachers Housing & Investment Co-operative Society Ltd v Bonito Properties Ltd (Environment and Land Case E023 of 2025) [2026] KEELC 3145 (KLR)", Case Analysis (2026). Bungoma ELC (application dated 26/8/2025). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2026/3145/eng@2026-05-13
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.