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ELCAllowedELC Case No. 362 of 2017

China Wu Yi Company Limited v Belgo Holdings Limited

Environment and Land Court
6 October 2026
3,074 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~12 min to read original · ~4 min brief

The bottom line

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A Kenyan court ordered Belgo Holdings to refund over Kshs.32 million because the appeal that triggered the payment was later overturned.

What this practically means

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Executive summary

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This ruling by the Environment and Land Court at Nairobi (Christine Ochieng, J) determines a Notice of Motion dated 3rd November 2025 by China Wu Yi Company Limited, the plaintiff, against Belgo Holdings Limited, the defendant, together with the defendant's preliminary objection. Judgment had been entered by consent adopted on 22nd June 2017, under which rent was payable by the plaintiff only if the ELC in ELC 545 of 2012 declared the defendant owner of the Peponi Road property. That declaration was made on 30th January 2020, and the plaintiff paid the defendant Kshs.29,791,745.00 and Kshs.3,000,000.00. However, on 9th May 2025 the Court of Appeal in Civil Appeal No. E011 of 2021 overturned the ELC 545 of 2012 judgment, and the plaintiff then sought leave for new advocates to come on record, restitution of the sums paid with interest, and costs in the cause. The defendant objected that the application flouted Order 9 of the Civil Procedure Rules, that Section 91 of the Civil Procedure Act was inapplicable because the decree had not been varied, and that Section 67(2) barred any challenge to a consent decree. The court allowed the change of advocates, held that the consent decree was conditional and was varied by operation of law when the underlying judgment was reversed, found Section 67(2) inapplicable since no appeal was being lodged, and disallowed the preliminary objection. The application was allowed in full: leave granted, restitution of both sums ordered with interest at court rates from 9th May 2025, and each party to bear their own costs.

Questions the Court framed

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

  1. 1.Whether the instant application flouts Order 9 of the Civil Procedure Rules
  2. 2.Whether the application is barred under sections 67(2) and 91 of the Civil Procedure Act

Key legal issues

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01

Whether the application flouted Order 9 Rule 9 on change of advocates after judgment

Holding

It did not; the incoming firm sought leave of court and there was no objection, so leave was granted

Reasoning

Order 9 Rule 9 requires that a post-judgment change of advocate be effected either by court order on application with notice, or by consent of the outgoing advocate. The applicant sought leave and no objection was raised, satisfying the rule.

p. 10
02

Whether Section 91 of the Civil Procedure Act applies to restitution of sums paid under the consent decree

Holding

Yes; the consent decree was conditional on the ELC 545 of 2012 judgment, and its reversal on appeal varied the decree by operation of law, triggering restitution

Reasoning

Section 91 entitles a party to restitution where a decree is varied or reversed. The consent was expressly conditional on the ELC 545 of 2012 ownership finding; the Court of Appeal overturned that judgment, collapsing the condition and varying the decree by operation of law. The Defendant, having received monies with conditions unfulfilled, must refund them.

p. 17
03

Whether Section 67(2) of the Civil Procedure Act bars the application

Holding

No; the bar applies to appeals against consent decrees, and the Plaintiff sought restitution, not an appeal

Reasoning

Section 67(2) provides that no appeal lies from a consent decree. The court found the Plaintiff was not appealing the consent but seeking restitution of monies paid under it, so the provision was immaterial.

p. 15
04

Whether the preliminary objection met the Mukisa Biscuit threshold of a pure point of law

Holding

It did not; the objection was disallowed as unmerited

Reasoning

Citing Mukisa Biscuit and Oraro v Mbaja, a preliminary objection must be a point of law not blurred with contested facts. The Defendant's objections required factual findings on reversal of the decree and the effect of the appellate judgment, so the objection failed.

p. 17

Legal principles established

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  • A consent judgment conditional upon the outcome of another case is varied by operation of law when that other judgment is overturned, entitling the paying party to restitution under Section 91 of the Civil Procedure Act
  • Section 67(2) of the Civil Procedure Act barring appeals from consent decrees does not bar an application for restitution under Section 91

Court orders

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  1. 1.Leave granted to the firm of M/S Conrad Law Advocates to come on record for the Plaintiff/Applicant in place of M/S CM Ngugi Rebiro & Company Advocates
  2. 2.Orders of restitution and/or refund granted for the Defendant to pay the Plaintiff the sums of Kshs.29,791,745.00 and Kshs.3,000,000.00 paid in compliance with the consent order of 22nd June 2017
  3. 3.The said sums to be paid with interest at court rates from 9th May 2025, the date of the Court of Appeal judgment
  4. 4.Each party to bear their own costs

The bench

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

Wrote the judgment

Jurisdiction invoked
Sections 67(2) and 91 of the Civil Procedure Act and Order 9 of the Civil Procedure Rules, in the court's inherent powers over its own decree

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 Consent Judgement including resultant Decree were varied by operation of law, given that it was conditional upon the judgement of the Court in ELC No. 545 of 2012, which was overturned in Civil Appeal No. E011 of 2021
Variation of conditional consent decree by operation of law
I however find the instant Notice of Motion application merited and will allow it in the following terms
p. 17Disposition - allowance of the Notice of Motion
Leave be and is hereby granted to the firm of M/S Conrad Law Advocates to come on record for the Plaintiff/Applicant in place of M/S CM Ngugi Rebiro & Company Advocates.
p. 17Final orders - change of advocates
That Orders of restitution and or refund be and is hereby granted for the Defendant to pay to the Plaintiff the sums kshs.29,791,745.00 and kshs.3,000,000.00
p. 18Final orders - restitution
That the sums aforesaid be paid with interest at court rates from 9th May, 2025 which is the date of the judgement in the Court of Appeal.
p. 18Final orders - interest
Each party to bear their own costs.
p. 18Final orders - costs

Issues in the judgment

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minor

Conflicting dates for the consent decree: adopted 22nd June 2017 versus 'issued on 27th June 2017'

material

Inconsistent figure for second refund sum: 'kshs.3,000,00.00' in prayer and body versus 'kshs.3,000,000.00' in final orders

minor

Preliminary objection dated 14th April 2026 postdates the application of 3rd November 2025 but is described as filed in opposition; chronology unexplained

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, "China Wu Yi Company Limited v Belgo Holdings Limited", Case Analysis (2026). ELC Case No. 362 of 2017. Source: https://new.kenyalaw.org/akn/ke/judgment/keelc/2026/6206/eng@2026-10-06

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