[2016] KEHC 107 (KLR)

[2016] KEHC 107 (KLR)

The court found that the execution process, including the issuance of notification of sale, prohibitory order, warrant of attachment and sale, and terms and conditions of sale, was not founded on any application for execution as required by law. There was no evidence of proceedings towards settling terms of sale or...

Source-derived case information.

Citation
[2016] KEHC 107 (KLR)
Parties
Plaintiff: Gention AG; Defendant: Beloilco Holdings Limited
Court
High Court
Court Station
High Court at Mombasa
Jurisdiction
Kenya
Case Number
Commercial Civil Case 146 of 2016
Procedural Posture
Commercial Suit / Ruling on Propriety of Execution Process and Related Applications
Outcome
Documents dated 21/7/2016 (notification of sale, prohibitory order, warrant of attachment and sale, terms and conditions of sale) set aside and expunged; vesting order and certificate of sale declared null and void; parties directed to prosecute pending applications.
Judges
CA Otieno
Legal Topics
Execution of Judgments, Attachment and Sale of Property, Abuse of Court Process, Service of Process
Source Language
en
Civil Procedure Commercial and Corporate Execution of Judgments Attachment and Sale of Property Abuse of Court Process Service of Process

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Parties

Gention AG

Plaintiff

Beloilco Holdings Limited

Defendant

Procedural Posture

Commercial Suit / Ruling on Propriety of Execution Process and Related Applications

  1. 1 Whether the execution process, including attachment and sale of property, was conducted in accordance with the mandatory provisions of the Civil Procedure Rules.
  2. 2 Whether the documents dated 21/7/2016 (notification of sale, prohibitory order, warrant of attachment and sale, terms and conditions of sale) were lawfully procured.
  3. 3 Whether service of the application for vesting order was properly effected on the defendant through its advocate as required by law.

Ratio Decidendi

The court found that the execution process, including the issuance of notification of sale, prohibitory order, warrant of attachment and sale, and terms and conditions of sale, was not founded on any application for execution as required by law. There was no evidence of proceedings towards settling terms of sale or proper service of the application for vesting order on the defendant's advocate. The involvement of an individual acting for both parties raised impropriety and potential abuse of process. The court held that the documents dated 21/7/2016 were procured unlawfully, circumvented due process, and constituted an abuse of the court process. Consequently, the court exercised its...

Court Disposition

Documents dated 21/7/2016 (notification of sale, prohibitory order, warrant of attachment and sale, terms and conditions of sale) set aside and expunged; vesting order and certificate of sale declared null and void; parties directed to prosecute pending applications.

Orders

  • Notification of sale, prohibitory order, warrant of attachment and sale, and terms and conditions of sale dated 21/7/2016 are set aside and expunged from the court record.
  • The vesting order and certificate of sale flowing from the impugned proceedings are declared null and void and expunged from the court record.