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ELCDismissedNot stated in judgment (notice of motion dated 20th February, 2026)· [2026] KEELC 5081 (KLR)

Hassan & another v Gulf African Bank Limited & another (Environment and Land Case E061 of 2023) [2026] KEELC 5081 (KLR)

High Court of Kenya
4 August 2026
1,493 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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The High Court of Kenya refused to pause a lawsuit pending appeal, confirming that stay of proceedings is an exceptional remedy that a mere notice of appeal cannot justify.

What this practically means

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Executive summary

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This first-instance ruling determines a notice of motion dated 20th February, 2026 by the 1st defendant/applicant, Lawi Sato, seeking a stay of further proceedings in the main suit pending the hearing and determination of an intended appeal against a ruling delivered on 19th December, 2025. The application, brought under Article 159(2) of the Constitution and Sections 1A, 1B and 3A of the Civil Procedure Act, was supported by the applicant's affidavit deposing that a notice of appeal had been filed on 19th December, 2025 and that the intended appeal raised substantial questions with chances of success. The plaintiffs/respondents filed grounds of opposition and submissions contending that stay of proceedings is an exceptional and discretionary remedy; that no appeal had been filed, only a notice of appeal; that the application was brought after inordinate delay relating to a statutory sale concluded in 2021 and transfer of the suit property to a third party in occupation; and that any alleged loss was compensable in damages. The court framed a sole issue: whether the applicant had met the threshold for a stay of proceedings. Applying the criteria in Re Global Tours & Travel Ltd and Kenya Power & Lighting Co. Ltd v Esther Wanjiru Wokebii (arguable case, expedition, and the interest of justice), and the overall-circumstances approach in Christopher Ndolo Mutuku v CFC Stanbic Bank Ltd, the court held that no prima facie case was established, that the applicant had not shown the appeal would be rendered nugatory, and that a stay would only delay finalisation of the pending suit. The application was dismissed with costs to the plaintiffs/respondents.

Key legal issues

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Whether the threshold for stay of proceedings pending appeal was met

Holding

The application was dismissed because the applicant established neither a prima facie arguable case nor that the appeal would be rendered nugatory, and a stay would only delay the case

Reasoning

The court, guided by the Re Global Tours & Travel Ltd and Kenya Power & Lighting Co. Ltd criteria, held that the discretion to stay proceedings must serve the interest of justice and expeditious disposal. The applicant relied only on a notice of appeal and assertions of chances of success. The court found no prima facie case established, no demonstration of nugatory-ness, and reiterated that applications meant to delay the wheels of justice must be stopped. Costs followed the dismissal.

p. 4

Legal principles established

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  • Whether to grant a stay of proceedings is a matter of judicial discretion to be exercised in the interest of justice, weighing expeditious disposal, arguability of the intended appeal, judicial time and expedition of the application
  • The considerations for stay of proceedings are: a prima facie arguable case, expeditious filing, and sufficient cause showing it is in the interest of justice to grant the orders
  • In a stay of proceedings application the court assesses the overall impression arising from the total circumstances of the case

Court orders

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  1. 1.The notice of motion dated 20th February, 2026 seeking stay of proceedings is dismissed
  2. 2.Costs of the application awarded to the plaintiffs/respondents
Jurisdiction invoked
Article 159(2) of the Constitution; Sections 1A, 1B and 3A of the Civil Procedure Act; Order 42 rule 6 of the Civil Procedure Rules

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, "Hassan & another v Gulf African Bank Limited & another (Environment and Land Case E061 of 2023) [2026] KEELC 5081 (KLR)", Case Analysis (2026). Not stated in judgment (notice of motion dated 20th February, 2026). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2026/5081/eng@2026-08-04

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