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ELCPartially AllowedNotice of Motion dated 10th June 2025 (ELC Suit)

Ngatiri v Sunshine Construction Company Limited & another (Environment and Land Case E162 of 2024) [2026] KEELC 3006 (KLR)

Environment and Land Court
15 May 2026
MKMohammed N. Kullow
1,848 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~7 min to read original · ~4 min brief

The bottom line

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A Nairobi court ruled that a bank holding a charge over disputed land must be joined to a lawsuit challenging its planned sale of that property.

What this practically means

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Executive summary

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The Plaintiff/Applicant, George Ngatiri, moved the Environment and Land Court by Notice of Motion dated 10th June 2025 seeking, inter alia, the joinder of I&M Bank Limited as an Interested Party, a temporary injunction restraining the intended sale of L.R No. 70207 now Nairobi Block 4/210, and leave to amend the Plaint and witness statements. He claims he purchased the suit property from the Defendant, Sunshine Construction Company Limited, in 2003, took possession, developed it and occupies it as his matrimonial home, though title was never transferred to him. The Bank, which holds a legal charge over the property as security for facilities advanced to Blitz Logistics Limited and has instructed auctioneers to sell it, opposed the application, arguing res judicata by reference to Milimani HCCCOMM/E788/2024 and lack of jurisdiction in the ELC over charges and securities. Only the joinder issue was framed for determination. Applying Order 1 Rule 10(2) and the principles in Meme v Republic, J.M.K v M.W.K and Tang Gas Distributors, the court held that the Bank's presence is necessary since any determination on ownership and title directly affects it as chargee, and joinder would prevent multiplicity of proceedings. The court allowed the joinder, granted leave to amend the Plaint, witness statements and accompanying documents within fourteen days, and allowed the Bank fourteen days to respond thereafter. Costs were made to abide the outcome of the main suit. The injunction prayer was not granted in the disposition.

Questions the Court framed

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

  1. 1.Whether the Proposed Interested Party, I&M Bank Limited, ought to be enjoined in these proceedings as an Interested Party

Key legal issues

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01

Whether I&M Bank Limited ought to be enjoined as an Interested Party

Holding

Joinder allowed; the Bank, as chargee of the suit property and a party exercising its statutory power of sale, is necessary for complete adjudication and to prevent multiplicity of suits.

Reasoning

The court applied Order 1 Rule 10(2) and the Meme v Republic principles. It found the suit property undisputedly charged to the Bank as security for facilities advanced to Blitz Logistics Limited, and that the Bank had commenced exercising its statutory power of sale. The Applicant claims ownership under a 2003 sale agreement and contends the Defendant lacked capacity to charge the property. Since any determination on ownership, title and proprietary interest would directly affect the Bank as chargee, its presence was necessary to settle all questions and forestall proliferated litigation.

p. 4

Legal principles established

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  • A chargee whose security is the very title in dispute, and who is exercising a statutory power of sale, is a necessary party whose presence enables the court to effectually and completely adjudicate upon all questions in the suit.
  • Joinder may be effected at any stage of proceedings so long as the suit has not been finally determined, even after judgment or at the appellate stage.

Court orders

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  1. 1.I & M Bank Limited is hereby enjoined in these proceedings as an Interested Party.
  2. 2.The Plaintiff/Applicant is granted leave to amend the Plaint, witness statements and accompanying documents within fourteen (14) days from the date hereof.
  3. 3.The Interested Party shall thereafter be at liberty to file and serve its response to the amended pleadings within fourteen (14) days of service.
  4. 4.Costs of the application shall abide the outcome of the main suit.

The bench

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

MK
majority

Wrote the judgment

Jurisdiction invoked
Environment and Land Court jurisdiction over ownership, use and title to land; application under Sections 1A, 1B and 3A of the Civil Procedure Act and Order 1 Rule 10(2) of the Civil Procedure Rules, 2010

Relief refused

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Temporary injunction restraining the intended sale of L.R No. 70207 now Nairobi Block 4/210

The application was allowed only to the extent of the prayer for joinder; no injunction order was made in the disposition

p. 4

Leave to file further documents as a distinct prayer

The disposition granted leave to amend Plaint, witness statements and accompanying documents but made no express order on further documents beyond that

p. 4

Costs

Costs of the application shall abide the outcome of the main suit.

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 Court finds merit in the prayer for joinder and hereby allows the joinder of I & M Bank Limited as an Interested Party in these proceedings
p. 4joinder of chargee as interested party
the presence of the Proposed Interested Party is necessary in order to enable the Court efiectually and completely adjudicate upon and settle all questions involved in the suit
p. 4Order 1 Rule 10(2) necessary party test
I & M Bank Limited is hereby enjoined in these proceedings as an Interested Party.
p. 4final orders
Costs of the application shall abide the outcome of the main suit.
p. 4costs order

Issues in the judgment

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minor

The delivery date is stated as 2026 while the application is dated 10th June 2025 and refers to a ruling of 27th May 2025; the year 2026 on the face of the judgment appears to be an apparent typographical anomaly but is recorded as printed.

Key timeline

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Practical implications

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Frequently asked questions

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Later judgments citing this (1)

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Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

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Cite this brief

Caselaw, "Ngatiri v Sunshine Construction Company Limited & another (Environment and Land Case E162 of 2024) [2026] KEELC 3006 (KLR)", Case Analysis (2026). Notice of Motion dated 10th June 2025 (ELC Suit). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2026/3006/eng@2026-05-15

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