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Small ClaimsPartially AllowedNot stated in judgment· [2026] SCC 132 (KLR)

Reganne Logistics Ltd v Macharia (Commercial Case E346 of 2026) [2026] SCC 132 (KLR)

Small Claims Court
24 June 2026
TMTheresa N. Mwangeka
936 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan Small Claims Court ordered a transporter to pay demurrage, but only the documented amount — not the full sum claimed.

What this practically means

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Executive summary

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The Claimant sued for KShs. 754,000 (USD 5,800) in demurrage charges allegedly arising from the Respondent's breach of a transport agreement dated 28th January 2026, under which the Respondent was to transport a container (FCIU9146655) from Mombasa to Kigali and return the empty container to Mombasa within 28 days of loading on 17th January 2026. The Claimant pleaded that demurrage began accruing on 16th February 2026 at USD 700 for the first cycle and USD 100 per day thereafter, reaching USD 5,800 by 20th April 2026. The Respondent denied the agreement and liability, attributing the delay to the absence of a validated storing order, which led the warehouse to reject the container and forced him to park it at a private garage until 2nd February 2026. The court found the agreement valid on the offer/acceptance/consideration test, and held the Respondent in breach, finding his pleaded version contradicted by his own WhatsApp screenshots showing offloading on 2nd March 2026, with the messages evidencing an admission of fault. Applying the principle that equity will not suffer a wrong without a remedy, the court nevertheless found the claim overstated: scrutinising the invoices, it computed demurrage of USD 700 for 16th-28th February 2026 and USD 2,754 for 1st March to 20th April 2026, at KShs. 129 to the dollar, totalling USD 3,454. Judgment was entered for the Claimant for USD 3,454 (KShs. 445,566) with interest from the date of judgment, each party bearing their own costs.

Key legal issues

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01

Validity of the transport agreement

Holding

The agreement dated 28th January 2026 was a valid and binding contract

Reasoning

Applying the offer/acceptance/consideration test from Charles Mwirigi Miriti, the court found the transport agreement satisfied the essential elements and bound the parties, including the term requiring return of the empty container within 28 days with personal liability for demurrage.

p. 2
02

Breach of the 28-day return timeline

Holding

The Respondent was in breach for delivering the container late, without lawful excuse

Reasoning

The Respondent pleaded that the container was offloaded on 2nd February 2026 after being denied access for want of a validated storing order, but the WhatsApp screenshots showed offloading at a private yard on 2nd March 2026. The court found the pleaded version unsupported and noted the WhatsApp messages showed an admission of fault through a suggested settlement plan.

p. 2
03

Quantum of demurrage

Holding

Demurrage recoverable computed at USD 3,454, not the USD 5,800 claimed

Reasoning

On scrutiny of the invoices, demurrage for 16th to 28th February 2026 was USD 700 (about USD 54 per day), and demurrage from 1st March to 20th April 2026 stood at USD 2,754 at the exchange rate of KShs. 129 to the dollar, totalling USD 3,454.

p. 2

Legal principles established

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  • The essential elements of a valid contract are offer, acceptance and consideration
  • A breach of contract is committed when a party, without lawful excuse, fails or refuses to perform what is due under the contract, or performs defectively
  • Equity will not suffer a wrong to be without a remedy

Court orders

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  1. 1.Judgment entered for the Claimant against the Respondent for USD 3,454 equivalent to KShs. 445,566/-
  2. 2.Interest on the decretal sum from the date of judgment
  3. 3.Each party to bear their own costs

Authorities

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Cases cited (3)

  • Charles Mwirigi Miriti v Thananga Tea Growers Sacco Ltd & another
    [2014] KECA 538 (KLR)
  • Jackline Njeri Kariuki v. Moses Njung'e Njau
    [2021] eKLR
  • Kenya Wildlife Service v Awuor
    (Civil Appeal E013 of 2022) [2023] KEHC 3721 (KLR) (26 April 2023)
Jurisdiction invoked
Original small claims jurisdiction (transport agreement/demurrage claim); exact statutory provision not cited in the judgment

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, "Reganne Logistics Ltd v Macharia (Commercial Case E346 of 2026) [2026] SCC 132 (KLR)", Case Analysis (2026). Not stated in judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/scc/2026/132/eng@2026-06-24

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