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High CourtAllowedJR No. 11 of 2016 (Garnishee Proceedings)

Robson Ruston Tabu v Kerio Valley Development Authority (Garnishee Proceedings)

High Court of Kenya
28 May 2020
1,365 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Long-standing debts must be paid; courts will enforce payment even if the debtor cites COVID-19 or financial hardship.

What this practically means

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Executive summary

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Robson Ruston Tabu, the decree holder in JR No. 11 of 2016, moved the High Court at Malindi by ex-parte notice of motion under Order 23 of the Civil Procedure Rules and Sections 1A, 1B and 3A of the Civil Procedure Act seeking a garnishee order nisi, and ultimately absolute, against Kenya Commercial Bank Limited to satisfy a decretal sum of Kshs.1,106,894.35 plus interest and costs totalling Kshs.1,385,897.85, from the judgment debtor's accounts with the bank. The judgment debtor, a public corporation (the respondent), opposed through a replying affidavit of its CEO, Geofrey K. Sang, contending that execution proceedings had been suspended due to the COVID-19 pandemic and that it was making efforts to source funds to settle the decree, warning of grave disruption to water availability if its account mandate was closed. The Garnishee, through Gordon Winani's affidavit, confirmed holding the respondent's account with a credit balance of Kshs.3,347,468.05 as at 20.3.2020 and that it had frozen Kshs.1,385,997.85 pending the court's directions. Nyakundi J framed the question as whether the criteria under Order 23 were satisfied for a Garnishee Order Absolute. Applying the Nigerian authority P.P.M.C. Ltd v Delphi Pet on the nature of garnishee proceedings as attachment of debt, and invoking the court's inherent powers under Section 3A, the court found the debt outstanding since 30.11.2007 following non-adherence to a mandamus issued on 19.7.2019, rejected the COVID-19 objection as unjust, and ordered the final Garnishee Order to issue with costs as premised, with Kshs.25,000/= in corresponding costs countermanded by the Garnishee.

Key legal issues

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01

Whether a Garnishee Order Absolute should issue where the Garnishee confirms holding frozen funds of the judgment debtor and raises no objection

Holding

The order absolute was granted; liability was resolved in favour of the applicant and the Garnishee had no objection to the orders being made final.

Reasoning

The court applied the two-stage garnishee process under Order 23: the order nisi establishes liability, and at the inter partes stage the bank demonstrates the judgment debtor's liquidity. Here the Garnishee confirmed a credit balance of Kshs.3,347,468.05 and had frozen Kshs.1,385,997.85 pending directions, and raised no objection. The debt had been outstanding since 30.11.2007 following non-adherence to a mandamus, so the court invoked its inherent powers under Section 3A to prevent injustice to the judgment creditor.

p. 2
02

Whether the COVID-19 pandemic suspension of execution proceedings shields the judgment debtor from garnishee attachment

Holding

No; it would be unjust for the respondent to hide behind the COVID-19 pandemic to avoid paying or proposing payment.

Reasoning

The respondent's CEO deponed that all execution proceedings had been suspended due to COVID-19 and that the respondent was seeking funds to settle the decree. The court rejected this objection, noting the debt had remained outstanding since 2007 and that the respondent, as a public corporation, had merely been creating roadblocks. Had the respondent settled the debt or made acceptable proposals, attachment would have been unnecessary.

p. 3

Legal principles established

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  • Garnishee proceedings are a distinct method of executing a judgment; the judgment debtor is not a necessary party to them.
  • The court's inherent power under Section 3A of the Civil Procedure Act may be invoked to prevent injustice to a successful litigant.

Court orders

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  1. 1.The final Garnishee Order Absolute do issue to enforce the underlying debt with costs as premised in the application
  2. 2.Corresponding costs of Kshs.25,000/= countermanded by the Garnishee
Jurisdiction invoked
Order 23 Rules 1, 2, 3, 4, 8, 9 and 10 of the Civil Procedure Rules and Sections 1A, 1B, 3 and 3A of the Civil Procedure Act (inherent powers of the court)

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, "Robson Ruston Tabu v Kerio Valley Development Authority (Garnishee Proceedings)", Case Analysis (2020). JR No. 11 of 2016 (Garnishee Proceedings). Source: 

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