Kinyanjui Theuri (Decree Holder) v Garnishee (Jamii Bora Bank) & Judgment Debtor
The bottom line
#Once a court orders funds attached, the bank must stop all payments; releasing money after service is a breach of court order.
What this practically means
#Executive summary
#Key legal issues
#Whether funds paid out after service of the Order Nisi remained attachable
Yes; payments made 5 and 6 days after service breached the Order Nisi even if the first transfer may have preceded service
The court perused the account statement and confirmed a credit balance of kshs 1,407,346.85 at close of 2nd July 2020. Although the garnishee claimed service at 4.30 p.m. on 3rd July 2020 with no documentary proof, transfers of kshs 2,000,000 and kshs 150,000 on 8th and 9th July were indisputably after service, so the order was breached.
Whether the overdraft arrangement with the judgment debtor exempted the transferred funds from attachment
No; the arrangement did not exempt the funds from the attachment
The garnishee argued the 8th and 9th July transfers were automatic payments under an overdraft arrangement with the judgment debtor and thus not subject to attachment. The court rejected this, holding the Order Nisi prohibited release of money from the account until discharged or applied to the decree, and found the bank in disobedience.
Legal principles established
#- The effect of an Order Nisi is to prohibit the garnishee from releasing money from the attached account until the order is discharged or applied to satisfy the decree if made absolute
- A garnishee that releases attached funds after service of an Order Nisi is in contempt of the court order
Court orders
#- 1.Finding that the Garnishee acted in disobedience of the Court Order issued on 2nd July 2020
- 2.The Order Nisi is ordered absolute
- 3.The Garnishee to release the decretal amount of kshs 3,242,350 to the applicants
- Jurisdiction invoked
- Inherent garnishee jurisdiction under Civil Procedure Act and Rules (garnishee proceedings after entry of judgment); not expressly cited in the ruling
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Kinyanjui Theuri (Decree Holder) v Garnishee (Jamii Bora Bank) & Judgment Debtor", Case Analysis (2020). Not stated in judgment (garnishee application dated 1st July 2020). Source:
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.