Pwani Feeds Limited v Murang’a Farmers Co-operative Union Ltd & 2 others (Environment and Land Case E037 of 2025) [2026] KEELC 4514 (KLR)
The bottom line
#A Thika court dismissed a company's bid to block its eviction and force a financial audit, ruling it failed to prove its case and owed rent while subletting the property.
What this practically means
#Executive summary
#Key legal issues
#Prima facie case
No prima facie case established; the alleged sale of Ksh 58,925,218 lacked a written agreement or proof of payment, and the claim was conjectural despite an admitted Ksh 32,632,752 offset
The court applied the Mrao definition of a prima facie case. While the applicant pointed to an admitted financial arrangement, the 1st Defendant showed no written sale agreement or proof of the alleged purchase price existed. The expired lease and the applicant's unauthorized subletting and rent arrears undermined any apparently infringed right warranting protection by injunction.
Irreparable injury and balance of convenience
Irreparable injury not demonstrated; balance of convenience favours the property owner because the applicant sublet the property and owes substantial rent arrears
The applicant claimed catastrophic business loss from disruption of its manufacturing facility, but evidence showed it had sublet to Fair Nuts Limited and was collecting rent while defaulting on its own obligations. Equity, per Giella v Cassman Brown, denies relief to a party with unclean hands; an injunction to a non-occupying defaulting tenant would unjustly enrich it and prejudice the owner's right to levy distress.
Financial audit and disclosure at interlocutory stage
Refused; a full audit is a substantive remedy reserved for trial
The court held that compelling a full financial audit and disclosure of the rent offset agreement and records from 2016 would require exhaustive examination of disputed documents, which cannot be done on affidavit evidence at an interlocutory stage. The issue was expressly reserved for determination during the plenary hearing of the main suit.
Legal principles established
#- The lapse of a lease during the pendency of a suit does not extinguish an underlying financial and possessory dispute if the court was moved while the interest was live
- The balance of convenience cannot favour an applicant who approaches the court with unclean hands
- An interlocutory injunction should not be granted where it would prematurely determine the substantive suit
Court orders
#- 1.The Plaintiff/Applicant's Notice of Motion Application dated 5/03/2025 be and is hereby dismissed in its entirety
- 2.The interim orders of appearance or temporary injunction holding the status quo pending the determination of this application be and are hereby vacated
- 3.The prayer seeking a full financial audit and disclosure at this interlocutory stage is denied, with the issue reserved for determination during the plenary hearing of the main suit
- 4.The costs of and incidental to this application are awarded to the 1st Defendant/Respondent
- 5.Parties are referred to the Deputy Registrar for Pre-trial Conference on 21/07/2026
- Jurisdiction invoked
- Order 40 Rules 1, 2, 3 and 4 of the Civil Procedure Rules; Sections 1A, 1B and 3A of the Civil Procedure Act; Article 40 of the Constitution of Kenya
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Pwani Feeds Limited v Murang’a Farmers Co-operative Union Ltd & 2 others (Environment and Land Case E037 of 2025) [2026] KEELC 4514 (KLR)", Case Analysis (2026). Not stated in judgment (Notice of Motion dated 5/03/2025). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2026/4514/eng@2026-07-15
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.