[2017] KEELC 3188 (KLR)
The court found that the defendant had satisfied the three conditions for the grant of a stay of execution pending appeal: sufficient cause was established by the risk of substantial loss if the decretal sum was paid out and the appeal succeeded; the applicant had a valid notice of appeal on record due to the...
Source-derived case information.
- Citation
- [2017] KEELC 3188 (KLR)
- Parties
- Plaintiff: Albert Chulah Wamimitaire; Defendant: Hakika Transport Services Limited
- Court
- Environment and Land Court
- Court Station
- Environment and Land Court at Mombasa
- Jurisdiction
- Kenya
- Case Number
- ? 214 of 2011
- Procedural Posture
- Stay Application / Ruling on Application for Stay of Execution Pending Appeal
- Outcome
- Application for stay of execution granted, subject to conditions.
- Judges
- AA Omollo
- Legal Topics
- Stay of Execution, Security for Decretal Sum, Appeals Process, Enlargement of Time
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Albert Chulah Wamimitaire
Plaintiff
Hakika Transport Services Limited
Defendant
Procedural Posture
Stay Application / Ruling on Application for Stay of Execution Pending Appeal
Legal Issues
- 1 Whether the defendant has satisfied the conditions for grant of stay of execution pending appeal.
- 2 Whether the absence of a properly filed notice of appeal precludes the grant of stay.
- 3 Whether the applicant has demonstrated substantial loss may result if stay is not granted.
Ratio Decidendi
The court found that the defendant had satisfied the three conditions for the grant of a stay of execution pending appeal: sufficient cause was established by the risk of substantial loss if the decretal sum was paid out and the appeal succeeded; the applicant had a valid notice of appeal on record due to the enlargement of time by the Court of Appeal; and the applicant expressed readiness to provide security by depositing the decretal sum in an escrow account. The court was satisfied that the absence of evidence that the plaintiff could refund the decretal sum if the appeal succeeded further supported the risk of substantial loss. Accordingly, the court granted the stay of execution on...
Court Disposition
Application for stay of execution granted, subject to conditions.
Orders
- Stay of execution of the judgement and decree of this Court given on 8.10.15 and issued on 7th December 2015 pending hearing and determination of the appeal.
- Applicant to deposit the decretal sum of Kshs 2,770,000 together with taxed costs in an interest earning account opened in the joint names of the respondent and applicant's advocates within 30 days of the account being opened.
Full Case Text
Judgment text and source record
18 paragraphs
REPUBLIC OF KENYA
IN THE ENVIRONMENT AND LAND COURT
AT MOMBASA
ELC CIVIL SUIT NO. 214 OF 2011
ALBERT CHULAH WAMIMITAIRE………………………..…………PLAINTIFF
-VERSUS-
HAKIKA TRANSPORT SERVICES LIMITED………………………….DEFENDANT
RULING
1. The defendant moved this Court vide its application dated 24th June 2016 seeking stay of execution of the judgement and decree issued by this Court on 8th October 2015. The purpose of the stay is so us not to render their appeal to the Court of Appeal nugatory. The defendant submits that it is ready to give appropriate security for the sums due under the decree through a deposit made in an escrow account in the names of the parties’ advocates.
2. The application is opposed by the plaintiff/respondent who deposed that the applicant’s application for leave to file Notice of Appeal out of time is still pending. The Respondent gave reasons why this application should not be granted in paragraph 17 (B) to wit that no Notice of Appeal against the judgement has been filed by the defendant/Applicant as alleged.
3. This is an application in which a consent ought to have been recorded after the Court of Appeal enlarged for the defendant/Applicant time within which to appeal vide its ruling delivered on 14th October 2016. I say so because going by the contents of the replying affidavit, and the submissions the only reason the Respondent opposed the application was because of the absence of an appeal against the judgement of this Court through a properly filed Notice of Appeal.
4. The three grounds upon which a Court is to consider whether or not to grant an order for stay of execution is laid out in Order 42 rule 6. These grounds have been highlighted in several case law such as the Court of Appeal decision in Halal & Another vs Thornton & Turpin (1963) Ltd (1990) KLR i.e. that the applicant must establish sufficient cause, secondly that the Court does satisfy itself that substantial loss would ensue from such a refusal and or that the applicant must furnish security.
5. In this instant, the decretal sum awarded is quite a reasonably big sum of money. The applicant submits that it may not be able to recover this money if it is paid out to the Respondent. In his replying affidavit, the plaintiff has not deposed that he is a man of means capable of refunding the decree in the event the appeal succeeds. Accordingly I am satisfied that the applicant has demonstrated that it may suffer substantial loss if the orders are not granted.
6. Further Order 42 of the Civil Procedure Rules only require a party to demonstrate that it has an appeal merely by presenting a valid notice of appeal. The applicant has a valid notice of appeal on record by virtue of the enlargement of time given to it by the Court of Appeal on 14th October 2016. Lastly the Applicant has expressed his readiness to furnish security by depositing the decretal sum in an escrow account thus showing readiness to abide by and fulfil the 3rd condition for granting stay.
7. Consequently looking at the facts presented in totality, I am satisfied that the application has merit. The applicant is hereby given an order staying the execution of the judgement and decree of this Court given on 8. 10. 15 and issued on 7th December 2015 pending hearing and determination of his appeal. I further order the applicant to deposit the decretal sum of Kshs 2,770,000 together with the taxed costs in an interest earning account opened in the joint names of the Respondent & Applicant’s advocate. The deposit be made within 30 days of the account being opened. The costs of this application do abide the outcome of the decision of the Court of Appeal.
Dated, signed and delivered at Mombasa 20th day of April 2017
A. OMOLLO
JUDGE