[2021] KEBPRT 342 (KLR)
The Tribunal found that the tenancy agreement between the parties was for a term of 5 years and 3 months. Section 2(1) of Cap. 301, Laws of Kenya, excludes tenancies exceeding five years from the definition of controlled tenancies. As such, the Tribunal held that it lacked jurisdiction to entertain the dispute. The...
Source-derived case information.
- Citation
- [2021] KEBPRT 342 (KLR)
- Parties
- Tenant: Golden Cara Investment Limited; Landlord: Bell Estate Agency Limited
- Court
- Business Premises Rent Tribunal
- Jurisdiction
- Kenya
- Case Number
- Tribunal Case 327 of 2020
- Procedural Posture
- Miscellaneous Application / Ruling on Preliminary Objection and Applications
- Outcome
- preliminary objection upheld; applications struck out for want of jurisdiction; costs awarded to landlord
- Legal Topics
- Controlled Tenancy Definition, Jurisdiction of Tribunal, Tenancy Term Exemption
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Golden Cara Investment Limited
Tenant
Bell Estate Agency Limited
Landlord
Procedural Posture
Miscellaneous Application / Ruling on Preliminary Objection and Applications
Legal Issues
- 1 Whether the Business Premises Rent Tribunal has jurisdiction over a tenancy exceeding five years in term.
- 2 Whether the tenancy between the parties qualifies as a controlled tenancy under Cap. 301, Laws of Kenya.
Ratio Decidendi
The Tribunal found that the tenancy agreement between the parties was for a term of 5 years and 3 months. Section 2(1) of Cap. 301, Laws of Kenya, excludes tenancies exceeding five years from the definition of controlled tenancies. As such, the Tribunal held that it lacked jurisdiction to entertain the dispute. The preliminary objection raised by the Landlord was upheld, and both the Tenant's and Landlord's applications were struck out for want of jurisdiction. Costs were awarded to the Landlord.
Court Disposition
preliminary objection upheld; applications struck out for want of jurisdiction; costs awarded to landlord
Orders
- The preliminary objection dated 8th June 2020 is upheld.
- The Tenant's application dated 18th March 2020 is struck out for want of jurisdiction.
Full Case Text
Judgment text and source record
26 paragraphs
REPUBLIC OF KENYA
BUSINESS PREMISES RENT TRIBUNAL
VIEW PARK TOWERS 7TH & 8TH FLOOR
TRIBUNAL CASE NO. 327 OF 2020 (NAIROBI)
GOLDEN CARA INVESTMENT LIMITED........................TENANT
VERSUS
BELL ESTATE AGENCY LIMITED................................LANDLORD
RULING
1. Before me is an application dated 18th March 2020 by the Tenant seeking for restraining orders against the Landlord from entering, repossessing, leasing to third parties or dealing with the premises known as office1B, Sifa Towers erected on L.R. No. 1/668 Kilimani, Nairobi.
2. The application is supported by the Tenant’s affidavit of even date.
3. Among the documents attached to the affidavit is a letter of offer dated 4th November 2019 which expresses the term of tenancy to be 5 years 3 months.
4. On being served with the application, the Landlord filed a notice of preliminary objection to the effect that this Tribunal does not have jurisdiction since the tenancy is not controlled in terms of section 2(1) of Cap. 301, Laws of Kenya.
5. The Landlord has also annexed a copy of the letter of offer dated 4th November 2019 to the notice of preliminary objection.
6. It is not in dispute that the term of tenancy entered between the two parties is for 5 years 3 months.
7. Section 2(1) of Cap. 301, Laws of Kenya clearly exempts tenancies whose period exceeds 5 years from the definition of controlled tenancies.
8. In the premises, the net effect of the said provision is to remove any tenancy above 5 years from the jurisdiction of the Tribunal.
9. In the premises, the preliminary objection dated 8th June 2020 is upheld.
10. I have seen the Landlord’s application dated 8th December 2020 which is equally struck out for want of jurisdiction.
11. The Landlord is awarded costs of Kshs.20,000/- to be paid by the Tenant.
DATED, SIGNED AND DELIVERED THIS 16TH DAY OF APRIL 2021.
HON. GAKUHI CHEGE
VICE CHAIR
BUSINESS PREMISES RENT TRIBUNAL
In the presence of:
Mr. Kojo for the Landlord/Applicant
Mr. Ochola for Abdulahi for the Tenant/Respondent