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Court of AppealPartially AllowedCivil Application No. NAI. 337 of 2009 (UR 232/09)

Fredrick Mukua Njigoru v Kudjeta Wamugo Njigoru [2011] KECA 13 (KLR)

Court of Appeal of Kenya
2 December 2011
1,211 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Kenya's Court of Appeal halted a transfer of property management made without notice, letting the original manager continue if he files monthly accounts.

What this practically means

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Executive summary

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This was an application under rule 5(2)(b) of the Court of Appeal Rules for stay of execution of an order of Karanja, J of the High Court at Embu dated 24th September 2009 in H.C. Succ. Cause No. 280 of 2007, pending an intended appeal (Civil Appeal No. 320 of 2009). The parties are joint administrators of the estate of Njigoru Muya Katheri, and co-proprietors by transmission of plot No. 330 Embu Township, from which rental income is receivable. The impugned order, made at a mention on an informal application from the bar by the respondent's then counsel, transferred management of the property from the applicant to the respondent without prior notice or an opportunity to respond, the Judge citing the risk of the estate being auctioned. The Court of Appeal restated the two-fold test for rule 5(2)(b) relief: arguability and nugatory-ness. It held the complaint that the order was made without notice and without a hearing raised an arguable point, and declined to rule on whether the appeal was a non-starter for want of leave, leaving that to the appellate bench. On the nugatory limb, the court noted the certificate of lease showed both parties as proprietors, and that the applicant had managed the property since 1982; the balance of convenience favoured his continued management. The court allowed the application, staying the impugned order subject to the applicant filing monthly accounts by the 15th of each month, with the High Court at liberty to appoint an independent manager on default. Costs were made to abide the outcome of Civil Appeal No. 320 of 2009. The judgment is a single ruling of the full bench of three Judges of Appeal with no separate opinions.

Questions the Court framed

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

  1. 1.Whether the intended appeal is arguable
  2. 2.Whether, unless a stay is granted, the intended appeal would be rendered nugatory

Key legal issues

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01

Whether the intended appeal was arguable

Holding

The ground that the impugned order was made at a mention without notice and without affording the applicant an opportunity to respond raised an arguable point

Reasoning

The applicant's principal complaint was that the Judge transferred management of the estate property from him to the respondent on an informal application from the bar, at a mention, without prior notice and without giving him a chance to respond. The court held this clearly raised an arguable point as to whether the court could properly make such an order in the circumstances. The merits of whether leave to appeal was required were left to the bench hearing the appeal.

p. 2
02

Whether the appeal would be rendered nugatory without a stay; balance of convenience

Holding

The balance of convenience favoured allowing the applicant to continue managing the property, given the parties' co-ownership by transmission, his management since 1982, and the circumstances in which the impugned order was made

Reasoning

The court observed that the learned Judge's order suggested only the respondent had an interest, yet the certificate of lease showed both parties as proprietors of the leasehold interest by way of transmission. Considering the relationship between the parties, the length of time the applicant had managed the property and the circumstances of the order, the court let the applicant continue managing, subject to monthly accounts, with an independent manager as a default if accounts were not filed.

p. 2
03

Whether the appeal was a non-starter for want of leave to appeal

Holding

Whether the appeal was a non-starter for want of leave was a matter for the bench that would hear the appeal, not for the stay application

Reasoning

The respondent's counsel contended the appeal was a non-starter as no leave to appeal had been sought or obtained before filing. The court declined to determine that question on a stay application, holding that whether the appeal was a non-starter would be a matter for the bench that would eventually hear it. This preserved the stay jurisdiction rather than deciding the appeal's viability.

p. 2

Legal principles established

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  • An applicant under rule 5(2)(b) of the Court of Appeal Rules must demonstrate both that the appeal or intended appeal is arguable and that it would be rendered nugatory if stay is not granted
  • Rule 5(2)(b) of the Court of Appeal Rules confers original jurisdiction on the Court of Appeal to grant stay notwithstanding dismissal of a similar application in the High Court

Court orders

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  1. 1.Stay of the High Court order of 24th September 2009 transferring management of plot No. 330 Embu Township to the respondent, pending hearing and determination of Civil Appeal No. 320 of 2009
  2. 2.Applicant to continue managing the property on condition he files monthly accounts in court showing money receivable, receipts and disbursements, filed by the 15th of each succeeding month with a copy to the respondent
  3. 3.In default of filing any instalment of the accounts, the High Court at liberty to appoint an independent manager at fees ordinarily payable in the area
  4. 4.Costs of the motion to abide the outcome of Civil Appeal No. 320 of 2009

The bench

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

majority
majority
majority
On appeal from
High Court of Kenya at Embu
H.C. Succ. Cause No. 280 of 2007
Jurisdiction invoked
Rule 5(2)(b) of the Court of Appeal Rules (original jurisdiction to grant stay of execution pending appeal)

Relief refused

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Adjournment sought by respondent's counsel for lack of a copy of the application

The request was declined; counsel conceded he had not taken steps to obtain a copy from the court or the applicant's counsel

p. 2

Appointment of an independent estate manager (as sought by the applicant as an alternative)

The court instead allowed the applicant to continue managing the property subject to filing monthly accounts, with an independent manager only as a default measure

p. 2

Costs

The costs of this motion shall abide the outcome of Civil Appeal No. 320 of 2009.

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.

The principles which guide the court in applications under the aforesaid rule are two fold. First, to succeed the applicant must show his appeal or intended appeal is arguable. Secondly, and in addition, that unless he is granted a stay or injunction as the case might be, his appeal or intended appeal if successful, would be rendered nugatory.
p. 2Rule 5(2)(b) principles
That ground clearly raises an arguable point, namely whether or not the court could, in the circumstances properly make the order as it did.
p. 2Arguability
Considering the nature of the relationship between the parties, the length of time the applicant has been managing the property, and in view of the circumstances under which the impugned order was made, the balance of convenience is in favour of letting the applicant continue managing the estate.
p. 2Nugatory aspect / balance of convenience
The costs of this motion shall abide the outcome of Civil Appeal No. 320 of 2009.
p. 2Final orders - costs
In default of filing any one instalment of the Accounts the High Court shall be at liberty to appoint an independent manager to manage the property on payment to him of fees at the rate ordinarily payable in the area.
p. 2Final orders - default mechanism

Issues in the judgment

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minor

The application is expressed to be brought under rules 42 and 52 of the Court of Appeal Rules, but the court states rule 5(2)(b) was intended; the citation in the cause title/record is inconsistent with the rule actually applied

minor

The respondent's counsel is recorded as Mr. R.N. Mugo, while the erstwhile advocate who made the informal application from the bar is recorded as Mr. Njiru Mbogo; the judgment also describes the applicant being represented by Mr. Okwaro earlier and Mr. Waweru before the appellate court, which may reflect a change of advocates but is not explained

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, "Fredrick Mukua Njigoru v Kudjeta Wamugo Njigoru [2011] KECA 13 (KLR)", Case Analysis (2011). Civil Application No. NAI. 337 of 2009 (UR 232/09). Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2011/13/eng@2011-12-02

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