[2023] KEHC 19117 (KLR)
The court held that the applicant is entitled to judgment in the sum of Kshs 515,067 as per the certificate of taxation, together with interest at 14% per annum. The entitlement to interest is grounded in Rule 7 of the Advocates Remuneration Order, which allows an advocate to charge interest at 14% per annum from...
Source-derived case information.
- Citation
- [2023] KEHC 19117 (KLR)
- Parties
- Applicant: Gitonga Muriuki t/a Gitonga Muriuki & Co. Advocates; Respondent: Teleposta Savings & Credit Cooperative Society Limited
- Court
- High Court
- Court Station
- High Court at Nairobi (Milimani Law Courts)
- Jurisdiction
- Kenya
- Case Number
- Civil Miscellaneous Application 351 of 2017
- Procedural Posture
- Miscellaneous Application / Ruling on Application for Entry of Judgment on Taxed Costs
- Outcome
- application allowed; judgment entered for applicant with interest
- Judges
- AN Ongeri
- Legal Topics
- Taxation of Costs, Interest on Costs, Advocate Client Bills
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Gitonga Muriuki t/a Gitonga Muriuki & Co. Advocates
Applicant
Teleposta Savings & Credit Cooperative Society Limited
Respondent
Procedural Posture
Miscellaneous Application / Ruling on Application for Entry of Judgment on Taxed Costs
Legal Issues
- 1 Whether the applicant is entitled to 14% interest on the taxed bill of costs.
- 2 Whether judgment should be entered in terms of the certificate of taxation.
Ratio Decidendi
The court held that the applicant is entitled to judgment in the sum of Kshs 515,067 as per the certificate of taxation, together with interest at 14% per annum. The entitlement to interest is grounded in Rule 7 of the Advocates Remuneration Order, which allows an advocate to charge interest at 14% per annum from one month after delivery of the bill to the client, provided the claim for interest is made before payment. Since the respondent did not file any reference against the taxed bill and the record did not show when the bill was delivered, the court directed that interest should accrue from the date of taxation. The respondent's objection to interest was found to have no basis, as...
Court Disposition
application allowed; judgment entered for applicant with interest
Orders
- Judgment is entered in favour of the applicant against the respondent for Kshs 515,067 plus interest at 14% per annum from the date of taxation until payment in full.
Full Case Text
Judgment text and source record
30 paragraphs
Gitonga Muriuki t/a Gitonga Muriuki & Co. Advocates v Teleposta Savings & Credit Cooperative Society Limited (Civil Miscellaneous Application 351 of 2017) [2023] KEHC 19117 (KLR) (Civ) (27 June 2023) (Ruling)
Neutral citation: [2023] KEHC 19117 (KLR)
Republic of Kenya
In the High Court at Nairobi (Milimani Law Courts)
Civil
Civil Miscellaneous Application 351 of 2017
AN Ongeri, J
June 27, 2023
Between
Gitonga Muriuki t/a Gitonga Muriuki & Co. Advocates
Applicant
and
Teleposta Savings & Credit Cooperative Society Limited
Respondent
Ruling
1. The application coming for consideration in this ruling is the one dated May 26, 2021 seeking entry of judgment in the sum of kshs 515,067 against the respondent in terms of the certificate of taxation issued on December 22, 2020 together with interest at the rate of 14% per annum from the date of the taxation until payment in full.
2. The application is based on the grounds on the face of it and supported by the affidavit of Gitonga Kithinji Muriuki in which he has deponed that the taxing master taxed the bill of costs at ksh 515,067 only on June 7, 2019 and issued a certificate on December 22, 2020 and further that no reference has been filed against the said bill of costs.
3. The application was served upon the respondents and they filed a Replying affidavit sworn on October 12, 2021 by Maryanne Ndekei, the Chief Executive of the Respondent.
4. It is deposed in the said RA that Respondent has been ready to settle the the amount of Kshs,515,067 as per the certificate of costs but the Applicant has been demanding interest of 14% which was not awarded by the Taxing master.
5. Further that the element of interest ought to have been included in the bill of costs but it was not.
6. The applicant filed written submissions which I have duly considered. The Applicant stated in their submissions that the certificate of costs has not been varied or set aside and further that the Respondent did not file any reference against the ruling of the Taxing Master.
7. The Applicant further submitted that once judgment is entered, the decretal sum is liable to attract interest at 14% from 30 days upon service of the bill of costs.
8. The Applicant relied on the case ofKithi & Company Advocates Vs Menengai Downs Ltd[ 2015 ] eKLR .
9. The sole issue for determination in this Application is whether the Applicant is entitled to 14% interest on the taxed bill of costs.
10. I agree with Justice Mabeya in the above case where he stated as follows;“…. There seems to be a misconception by legal practitioners on the award of interest on taxed costs. An Advocate is entitled to interest on the amount taxed on an Advocate/client Bill of Costs. The rate of interest awardable is 14% per Annum applicable from 30 days after the date of service of either the Block Fee Note or the Bills of Costs. This is clearly set out in Rule 7 of the Advocates Remuneration Order which provides: -“An advocate may charge interest at 14% per annum on his disbursements and costs, whether by scale or otherwise, from the expiration of one month from the delivery of his bill to the client, providing such claim for interest is raised before the amount of the bill has been paid or tendered in full.”
11. I find that the Respondent has no basis to object to the interest charged by the Applicant.
12. The Respondent has not filed any reference against the bill of costs.
13. Judgment be and is hereby entered in favour of the appellant against the respondent on the sum of kshs 515,0676/= plus interest at 14% fromthe expiration of one month from the delivery of the bill until payment in full.
14. Since it is not evident from the record when the bill was delivered to the client for payment, the interest to be charged from the date of taxation considering the bill was filed for taxation after the Respondent failed to settle the claim.
DATED, SIGNED AND DELIVERED ONLINE VIA MICROSOFT TEAMS AT NAIROBI THIS 27TH DAY OF JUNE, 2023. ………………………A. N. ONGERIJUDGEIn the presence of:……………………………. for the Advocate/Applicant……………………………. for the Respondent