Pwani Feeds Limited v Murang’a Farmers Co-operative Union Ltd & 2 others (Environment and Land Case E037 of 2025) [2026] KEELC 4514 (KLR)
The bottom line
#A Thika court dismissed a company's bid to block its eviction and force a financial audit, ruling it failed to prove its case and owed rent while subletting the property.
What this practically means
#Executive summary
#Questions the Court framed
#The issues the Court set itself to decide, in its own words.
- 1.Whether the Plaintiff/Applicant has established a prima facie case with a probability of success
- 2.Whether the Applicant stands to suffer irreparable injury in the absence of Court intervention, in whose favor the balance of convenience tilts
- 3.Whether an order for a full financial audit and disclosure can be properly granted at this interlocutory stage
Key legal issues
#Prima facie case
No prima facie case established; the alleged sale of Ksh 58,925,218 lacked a written agreement or proof of payment, and the claim was conjectural despite an admitted Ksh 32,632,752 offset
The court applied the Mrao definition of a prima facie case. While the applicant pointed to an admitted financial arrangement, the 1st Defendant showed no written sale agreement or proof of the alleged purchase price existed. The expired lease and the applicant's unauthorized subletting and rent arrears undermined any apparently infringed right warranting protection by injunction.
Irreparable injury and balance of convenience
Irreparable injury not demonstrated; balance of convenience favours the property owner because the applicant sublet the property and owes substantial rent arrears
The applicant claimed catastrophic business loss from disruption of its manufacturing facility, but evidence showed it had sublet to Fair Nuts Limited and was collecting rent while defaulting on its own obligations. Equity, per Giella v Cassman Brown, denies relief to a party with unclean hands; an injunction to a non-occupying defaulting tenant would unjustly enrich it and prejudice the owner's right to levy distress.
Financial audit and disclosure at interlocutory stage
Refused; a full audit is a substantive remedy reserved for trial
The court held that compelling a full financial audit and disclosure of the rent offset agreement and records from 2016 would require exhaustive examination of disputed documents, which cannot be done on affidavit evidence at an interlocutory stage. The issue was expressly reserved for determination during the plenary hearing of the main suit.
Legal principles established
#- The lapse of a lease during the pendency of a suit does not extinguish an underlying financial and possessory dispute if the court was moved while the interest was live
- The balance of convenience cannot favour an applicant who approaches the court with unclean hands
- An interlocutory injunction should not be granted where it would prematurely determine the substantive suit
Court orders
#- 1.The Plaintiff/Applicant's Notice of Motion Application dated 5/03/2025 be and is hereby dismissed in its entirety
- 2.The interim orders of appearance or temporary injunction holding the status quo pending the determination of this application be and are hereby vacated
- 3.The prayer seeking a full financial audit and disclosure at this interlocutory stage is denied, with the issue reserved for determination during the plenary hearing of the main suit
- 4.The costs of and incidental to this application are awarded to the 1st Defendant/Respondent
- 5.Parties are referred to the Deputy Registrar for Pre-trial Conference on 21/07/2026
The bench
#One judgment of the whole court — no separate or dissenting opinions.
Wrote the judgment
- Jurisdiction invoked
- Order 40 Rules 1, 2, 3 and 4 of the Civil Procedure Rules; Sections 1A, 1B and 3A of the Civil Procedure Act; Article 40 of the Constitution of Kenya
Relief refused
#Temporary injunction restraining eviction/interference with Thika Municipality Plot No. 4953/679
Applicant failed the sequential Giella/Nguruman criteria: no prima facie case established, in breach by unauthorized subletting and rent arrears, and balance of convenience favours the property owner
Order compelling full financial audit and disclosure of the rent offset agreement and financial records from 2016 to date
It is a substantive remedy requiring exhaustive examination of disputed documents, not grantable at interlocutory stage
Costs
The costs of and incidental to this application are awarded to the 1st Defendant/Respondent.
Quotable passages
#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 Plaintifi/Applicant’s Notice of Motion Application dated 5/03/2025 be and is hereby dismissed in its entirety.
The interim orders of appearance or temporary injunction holding the status quo pending the determination of this application be and are hereby vacated.
The costs of and incidental to this application are awarded to the 1st Defendant/Respondent.
the balance of convenience tilts heavily in favor of the property owner's right to protect its investment and levy distress for rent
the prayer for a full financial audit and complete disclosure cannot be granted at an interlocutory stage because it constitutes a substantive remedy
Issues in the judgment
#Internal date inconsistencies: submissions dated 2026 (3/03/2026 and 12/02/2026) pre-date discussion yet the application is dated 5/03/2025, and the ruling is delivered 15/07/2026
Submissions are described as 'useful in enabling me make this final decision' although the matter is an interlocutory application
Text of prayers refers to injunction 'pending the hearing and final determination of this suit' but is rendered as 'pending the hearing and final determination of this application' in prayer (iv)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Pwani Feeds Limited v Murang’a Farmers Co-operative Union Ltd & 2 others (Environment and Land Case E037 of 2025) [2026] KEELC 4514 (KLR)", Case Analysis (2026). Not stated in judgment (Notice of Motion dated 5/03/2025). Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2026/4514/eng@2026-07-15
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.