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ELCPartially AllowedEnvironment and Land Miscellaneous Case E013 of 2026

Kahawa Sukari Limited v Gatere

Environment and Land Court
21 September 2026
2,583 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 court allowed a late land appeal but only after the company deposited Kshs 2 million as security to stop the other side from enforcing the judgment.

What this practically means

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Executive summary

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This ruling by JA Mogeni J of the Environment and Land Court at Thika determined an application dated 23/02/2026 by Kahawa Sukari Limited seeking leave to appeal out of time against a judgment of the Chief Magistrate's Court at Ruiru (Hon Joseph Were, 22/08/2025) in Ruiru MCELC No. 6 of 2022, and a stay of execution of that judgment. The trial court had ordered the Applicant to compensate the Respondent with an alternative plot equal to Plot No. 1865 within 45 days, or in default refund Kshs 390,000/= (elsewhere recorded as Kshs 3,900,000.00) with compound interest from October 2011, or Kshs 8,000,000/=, whichever is greater. The Respondent opposed, arguing the application was incompetent, that the six-month delay was inordinate, and that the interim stay of 3/03/2026 was irregularly granted without security as required by Order 42 Rule 6(2). The Court framed two issues: extension of time under Section 79G and stay under Order 42 Rule 6(2). Applying First American Bank v Shah and Leo Sila Mutiso, it found the delay not outrightly indolent since the Applicant had pursued relief in the Subordinate Court from December 2025 to February 2026, and the draft appeal on damages was arguable. On stay, it found substantial loss and accepted the Applicant's willingness to furnish security, rejecting the request to cap security at Kshs 390,000/=. The application was allowed: leave to file the memorandum of appeal within 14 days, deemed filing, and a conditional stay upon deposit of Kshs 2,000,000/= into a joint interest-earning account or equivalent bank guarantee within 30 days, failing which the stay lapses. Costs were in the cause.

Questions the Court framed

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The issues the Court set itself to decide, in its own words.

  1. 1.Whether the Applicant should be granted leave to file and serve the Memorandum of Appeal out of time under Section 79G of the Civil Procedure Act.
  2. 2.Whether an order for stay of execution pending the hearing and determination of the Intended Appeal should issue under Order 42 Rule 6(2) of the Civil Procedure Rules, 2010.

Key legal issues

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01

Extension of time to appeal out of time under Section 79G

Holding

Leave granted: the six-month delay was not outright indolence because the Applicant was actively pursuing relief in the Subordinate Court from December 2025 to February 2026, the intended appeal is arguable, and prejudice is compensable in costs.

Reasoning

The Court applied the First American Bank and Leo Sila Mutiso discretion factors. Judgment was delivered 22/08/2025; the 30-day window expired 21/09/2025. The Applicant filed an extension application in the Subordinate Court on 4/12/2025, which was determined 3/02/2026, and filed the present application 20 days later. The draft appeal raises arguable issues on damages quantum (Kshs 8,000,000/= versus Kshs 390,000/=).

p. 4
02

Stay of execution pending appeal under Order 42 Rule 6(2)

Holding

Conditional stay granted: substantial loss shown given the magnitude of the Decree; delay not unreasonable; and the Applicant's expressed willingness to furnish security satisfied the mandatory requirement, though at a level fixed by the Court.

Reasoning

The Court held that execution of a decree requiring land substitution or monetary compensation of up to Kshs 8,000,000/= before appeal would cause substantial financial exposure and render the appeal academic. The Applicant's willingness to provide security cured the irregularity of the interim stay granted without security; the Court balanced the parties' competing rights by fixing security at Kshs 2,000,000/= with an automatic lapse on default.

p. 5

Legal principles established

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  • Factors for extension of time under Section 79G: explanation for delay, arguability of the intended appeal, and whether the respondent can be compensated in costs.
  • Substantial loss is the cornerstone of the jurisdiction to grant stay of execution pending appeal under Order 42 rule 6.
  • Security is a mandatory prerequisite and condition precedent to the grant of stay orders.

Court orders

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  1. 1.Leave granted to the Applicant to lodge and serve the Memorandum of Appeal out of time within fourteen (14) days from the date of the Ruling.
  2. 2.Upon lodging and payment of requisite Court fees within the fourteen days, the Memorandum of Appeal deemed properly filed and served.
  3. 3.Stay of execution of the Judgment delivered on 22/08/2025 in Ruiru MCELC No. 6 of 2022 granted pending the hearing and determination of the intended Appeal.
  4. 4.Stay conditional upon the Applicant depositing Kshs 2,000,000/= into a joint interest-earning bank account in the names of both Advocates, OR providing a bank guarantee of the equivalent sum from a reputable commercial bank, within thirty (30) days.
  5. 5.In default of compliance, the stay shall automatically lapse and the Respondent shall be at liberty to proceed with execution.
  6. 6.Costs of the application shall be in the cause.

The bench

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One judgment of the whole court — no separate or dissenting opinions.

majority

Wrote the judgment

On appeal from
Chief Magistrate's Court at Ruiru
MCL & E Cause Number E006 of 2022
Jurisdiction invoked
Sections 1A, 1B, 79G and 95 of the Civil Procedure Act; Order 50 Rule 6 and Order 51 Rule 1 of the Civil Procedure Rules, 2010

Relief refused

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Applicant's prayer to cap security at Kshs 390,000/= (the original purchase price) rather than the decree sum

Unreasonable given the actual exposure under the Decree of Kshs 8,000,000/=; the Court instead fixed security at Kshs 2,000,000/=

p. 5

Costs

Costs of this application shall be in the cause.

Quotable passages

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Verbatim from the judgment, each located to the page it appears on in the official PDF — so these can be cited and checked directly.

Leave is hereby granted to the Applicant to lodge and serve the Memorandum of Appeal out of time within fourteen (14) days from the date of this Ruling.
p. 5extension of time
An order of stay of execution of the Judgment delivered on 22/08/2025 in Ruiru MCELC No. 6 of 2022 is hereby granted pending the hearing and determination of the intended Appeal, subject to Condition iv below.
p. 5stay of execution
In default of compliance with Condition (iv) within the specified timeline, the order of stay of execution shall automatically lapse, and the Respondent shall be at liberty to proceed with execution.
p. 5lapse of stay on default
Costs of this application shall be in the cause.
p. 5costs
While a total period of six months elapsed between the Judgment and the present application, the Applicant was actively seeking relief in the Subordinate Court from December 2025 until February 2026.
p. 4reason for delay

Issues in the judgment

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minor

Decree amount stated inconsistently as Kshs 3,900,000.00 and Kshs 390,000/=

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, "Kahawa Sukari Limited v Gatere", Case Analysis (2026). Environment and Land Miscellaneous Case E013 of 2026. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2026/5700/eng@2026-09-21

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