Keiyo Teachers Co-operative Savings and Credit Society v Ojal & 7 others (Environment and Land Case 253 of 2012) [2026] KEELC 4257 (KLR)
The bottom line
#Kenya's Environment and Land Court fixed post-judgment interest at 12% per year, running only from 2011 when the paying party joined the case.
What this practically means
#Executive summary
#Questions the Court framed
#The issues the Court set itself to decide, in its own words.
- 1.What is the applicable rate of interest in the present case?
- 2.When does the interest on the decretal sum begin to accrue?
- 3.Who shall bear the costs of the present Application?
Key legal issues
#Applicable rate of interest where the decree is silent
The rate is 12% per annum, following the Court of Appeal in Kipchumba v BOG Tambach Teachers Training College.
The judgment and decree of 5/2/2020 and 9/4/2020 did not specify a rate. Section 26(1) of the Civil Procedure Act leaves the rate to the court's discretion. The Court of Appeal, relying on the Chief Justice Practice Direction No. 1 of 1982, held that absent special or exceptional circumstances the rate used by courts is 12% per annum from filing until payment in full. Guided by that decision, the court fixed 12% p.a.
Commencement date of interest on the decretal sum
Interest accrues from 23.02.2011, when the 7th defendant was joined by amendment of the plaint, not from the 2006 filing date.
Section 26(1) provides interest runs from the date of the suit to the date of the decree. Although the suit was filed in 2006, the 7th defendant was not then a party; it was joined in 2011 when the plaint was amended to enjoin it and introduce the liquidated refund claim. The defendant only became aware of and subject to the suit upon joinder in 2011.
Costs of the application
Each party to bear its own costs, departing from the general rule that costs follow the event.
Under the proviso to section 27 of the Civil Procedure Act costs follow the event unless the court is satisfied otherwise. Because the application merely sought interpretation of the court's own orders to enable settlement of the decree, the court directed that parties bear their own costs.
Legal principles established
#- Where a decree is silent on the rate of interest, the applicable rate absent special or exceptional circumstances is 12% per annum from the date of filing suit until payment in full.
- Section 26(1) of the Civil Procedure Act leaves the rate of interest to the judicious discretion of the court.
- Interest on the decretal sum runs against a defendant from the date the defendant was joined to the suit, not the original date of filing, where the liquidated claim was introduced upon amendment.
Court orders
#- 1.That the rate of interest applicable in the present case is 12% p.a.
- 2.The interest rate shall accrue from 23.02.2011.
- 3.Each party to bear its own costs of the application.
The bench
#One judgment of the whole court — no separate or dissenting opinions.
Wrote the judgment
- Jurisdiction invoked
- Section 26 and section 27 of the Civil Procedure Act (interpretation of the court's own decree)
Relief refused
#Interest on the principal sum at 14% p.a. from the date of filing the suit (27.04.2006)
The court adopted the Court of Appeal's guidance that absent special circumstances the rate is 12% p.a., and held interest against the 7th defendant runs only from the date it was joined to the suit.
Interest at 14% p.a. on taxed costs from the date of filing suit
Costs payable had not been taxed and ascertained and there was no order by this court or the Court of Appeal awarding 14% interest on costs.
Costs
Each party to bear its own costs of the application.
Quotable passages
#Verbatim from the judgment, each located to the page it appears on in the official PDF — so these can be cited and checked directly.
That the rate of interest applicable in the present case is 12% p.a.
The interest rate in (a) above shall accrue from 23.02.2011.
Each party to bear its own costs of the application.
The rate used by the courts, absent special or exceptional circumstances is 12% per annum from the date of filing suit until payment in full.
Issues in the judgment
#The judgment inconsistently records the date the 7th defendant was joined: the replying affidavit refers to the amended plaint filed 12.02.2011 while the depositions and the court's order refer to 23.02.2011.
The applicant's submissions are dated 21.05.2026 while the respondent's are dated 07.05.2026, though the judgment lists the applicant's first; also the applicant claims interest from filing on 27.04.2006 while the respondent references 23.02.2022 as an alternative filing date, which is unexplained.
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Keiyo Teachers Co-operative Savings and Credit Society v Ojal & 7 others (Environment and Land Case 253 of 2012) [2026] KEELC 4257 (KLR)", Case Analysis (2026). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2026/4257/eng@2026-07-09
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.