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ELRCAllowedBungoma High Court Civil Appeal (arising from BUTALI SRMCC NO. 103 OF 2016)· [2022] KEELRC 954 (KLR)

West Kenya Sugar Co Ltd & another v Timothy Ageno Kiyesi [2022] KEELRC 954 (KLR)

High Court of Kenya
27 January 2022
2,520 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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What this practically means

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Executive summary

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This is a ruling on the Applicant's Notice of Motion dated 1 November 2021 seeking leave to file an appeal out of time and stay of execution of the decree in Butali SRMCC No. 103 of 2016, in which the Respondent obtained judgment against West Kenya Sugar Co. Ltd and Another. The Applicant had earlier filed an appeal in the Kakamega High Court (No. 136 of 2018), which was struck out on 6 August 2021 for want of jurisdiction, and an application to transfer the appeal to the High Court was dismissed on 4 October 2021. The Respondent opposed, citing inordinate delay, an unrebutted case at trial, and the successful litigant's right to enjoy the fruits of judgment. The court framed four issues: leave to appeal out of time, admission of counsel's affidavit, substantial loss, and costs. Applying Sections 79G and 95 of the Civil Procedure Act, and the decisions in Waruthiu and Salat, the court found the whole period of delay explained, holding that the mistake of counsel in filing in the wrong court should not be visited on the innocent litigant. The draft memorandum of appeal raised arguable issues on liability and damages. Counsel's affidavit was competent, and the consent filed with the outgoing advocate satisfied the mischief of Order 9 Rule 9, procedural objections being technicalities under Article 159(2)(d). Substantial loss was demonstrated through the Respondent's impecuniosity and the existing security deposit in a joint interest-earning account. The court allowed the application, granting leave to appeal within 14 days and stay of execution pending the appeal, with automatic vacation of orders on default, and costs to the Respondent in any event.

Key legal issues

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01

Whether leave to file appeal out of time should be granted under Section 79G and Section 95 of the Civil Procedure Act

Holding

Leave granted; the delay from the 2018 judgment to the 1 November 2021 application was satisfactorily explained by the earlier appeal filed in the wrong court and the rejected transfer application.

Reasoning

The Applicant filed an appeal in the Kakamega High Court (No. 136 of 2018), which was struck out for want of jurisdiction, and a transfer application dismissed on 4 October 2021; the present application was lodged on 1 November 2021. Citing Waruthiu and Salat, the court found the entire period explained. The mistake of counsel filing in the wrong court should not be visited on the innocent litigant, and there has been jurisdictional uncertainty over WIBA matters.

p. 2
02

Whether the intended appeal is arguable

Holding

The draft memorandum of appeal raises arguable issues on liability and damages deserving a day in court.

Reasoning

The court examined the draft memorandum of appeal, which complains that the trial court treated the defence evidence and submissions superficially, arrived at wrong conclusions on liability and damages, and found liability without evidence of breach of duty of care or contract. These were found to be arguable, not frivolous, consistent with First American Bank of Kenya v Gulab P Shah.

p. 3
03

Whether the affidavit sworn by the incoming advocate was properly admitted and complied with Order 9 Rule 9

Holding

The affidavit was competent; counsel could depose to matters concerning rulings and pleadings, and the consent filed with the outgoing counsel satisfied the mischief of Order 9 Rule 9.

Reasoning

The court adopted S.K. Tawadi v Veronica Muehlmann, holding the essence of Order 9 Rule 9 is to protect outgoing advocates from mischievous clients, and that failure to comply does not prejudice the other party. The interest of the outgoing advocate was addressed by a consent filed in the trial court. Non-compliance was a technicality that cannot defeat justice under Article 159(2)(d).

p. 3
04

Whether the Applicant would suffer substantial loss if stay of execution is not granted

Holding

Substantial loss was demonstrated: the decretal sum if paid may be unrecoverable as the Respondent is a man of straw, and security had already been deposited in a joint interest-earning account.

Reasoning

Under Order 42 Rule 6(2), stay requires demonstration of substantial loss. The Applicant relied on Shell Ltd v Kibiru, where substantial loss includes loss of money if payment is made and the recipient cannot repay. The Respondent did not rebut the claim that he is a person of straw, nor the existence of the security deposit in the joint advocates' account. Applying Butt v Rent Restriction Tribunal, the court exercised its discretion in favour of the Applicant.

p. 3

Legal principles established

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  • The mistake of counsel in filing an appeal in the wrong court should not be visited on the innocent litigant.
  • The whole period of delay between the decision and the application for extension of time must be explained.
  • Procedural technicalities cannot defeat justice under Article 159(2)(d) of the Constitution.

Court orders

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  1. 1.Leave granted to the Applicant to file appeal out of time from the judgment and decree in BUTALI SRMCC NO. 103 OF 2016, the appeal to be filed within 14 days
  2. 2.Stay of execution of the decree in BUTALI SRMCC NO. 103 OF 2016 granted pending the lodgment, hearing and determination of the appeal to be filed in the High Court
  3. 3.Failure to file the appeal within 14 days will lead to automatic vacation of the leave and stay orders
  4. 4.Costs to the Respondent in any event

Authorities

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Legislation

  • Civil Procedure Act (Cap 21)Sections 1A, 1B, 3A
  • Civil Procedure Act (Cap 21)Section 79G
  • Civil Procedure Act (Cap 21)Section 95
  • Civil Procedure RulesOrder 42 Rule 6(1) and 6(2)
  • Civil Procedure RulesOrder 51 Rule 1 and 3
  • Civil Procedure RulesOrder 9 Rule 9
  • Constitution of KenyaArticle 159(2)(d)

Cases cited (7)

  • George Kangethe Waruthiu v Estina Nyamweru & another
    (2021) eKLR
  • Nicholas Kiptoo Arap Korir Salat v Independent Electoral and Boundaries Commission and 7 others
    (2014) eKLR
  • First American Bank of Kenya v Gulab P Shah & 2 others
    Nairobi HCCC No. 2255 of 2000 (2002) EA 65
  • S.K. Tawadi v Veronica Muehlmann
    (2019) eKLR
  • Shell Ltd v Kibiru & Another
    Civil Appeal No. 97 of 1996
  • MFI Document Solutions Ltd v Paretto Printing Works Limited
    (2021) eKLR
  • Butt v Rent Restriction Tribunal
    (1982) 417
On appeal from
Butali Senior Resident Magistrate's Court
SRMCC No. 103 of 2016
Jurisdiction invoked
Sections 1A, 1B, 3A, 79G and 95 of the Civil Procedure Act (Cap 21); Order 42 Rule 6(1) and Order 51 Rule 1 and 3 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, "West Kenya Sugar Co Ltd & another v Timothy Ageno Kiyesi [2022] KEELRC 954 (KLR)", Case Analysis (2022). Bungoma High Court Civil Appeal (arising from BUTALI SRMCC NO. 103 OF 2016). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2022/954/eng@2022-01-27

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