[2024] KEHC 1308 (KLR)
The court found that, by consent of the parties, proceedings in this suit should be stayed pending the hearing and determination of the related suits in the Nyeri High Court. The motions before the court, including the Plaintiff's application to set aside the AGM resolutions and the Defendants' application to strike...
Source-derived case information.
- Citation
- [2024] KEHC 1308 (KLR)
- Parties
- Plaintiff: Gucokaniriria Kihato Farmers And Traders Company Ltd; Defendant: Jonah Ichoya; Defendant: David Gitome; Defendant: Peter Kiarie; Defendant: Paul Thige; Respondent: Registrar Of Companies
- Court
- High Court
- Court Station
- High Court at Nairobi (Milimani Law Courts)
- Jurisdiction
- Kenya
- Case Number
- Miscellaneous Application E151 of 2023
- Procedural Posture
- Miscellaneous Application / Ruling on Interlocutory Motions and Stay of Proceedings
- Outcome
- Proceedings stayed by consent; status quo order issued.
- Judges
- JN Mulwa
- Legal Topics
- Company Directorship Disputes, Injunctive Relief, Status Quo Orders, Stay of Proceedings
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
More case intelligence is available
Unlock the full research layer for this judgment.
Parties
Gucokaniriria Kihato Farmers And Traders Company Ltd
Plaintiff
Jonah Ichoya
Defendant
David Gitome
Defendant
Peter Kiarie
Defendant
Paul Thige
Defendant
Registrar Of Companies
Respondent
Procedural Posture
Miscellaneous Application / Ruling on Interlocutory Motions and Stay of Proceedings
Legal Issues
- 1 Whether the resolutions passed at the purported Annual General Meeting convened by the Defendants should be set aside or nullified.
- 2 Whether the Registrar of Companies should be restrained from registering the Defendants as legal directors of the Plaintiff pending determination of the suit.
- 3 Whether the suit should be stayed pending determination of similar suits in the Nyeri High Court.
Ratio Decidendi
The court found that, by consent of the parties, proceedings in this suit should be stayed pending the hearing and determination of the related suits in the Nyeri High Court. The motions before the court, including the Plaintiff's application to set aside the AGM resolutions and the Defendants' application to strike out or stay the suit, are also stayed. The court issued an order of status quo to be maintained until the Nyeri cases are determined, ensuring that no party takes further steps that could prejudice the subject matter of the dispute. The matter will be mentioned for further directions after the outcome of the Nyeri suits.
Court Disposition
Proceedings stayed by consent; status quo order issued.
Orders
- Proceedings in this suit are stayed pending determination of Nyeri HCC No. E010 of 2022 and Nyeri HCC No. E015 of 2022.
- Motions dated 22/08/2023 and 3/10/2023 are stayed to await outcome of the Nyeri suits.
Full Case Text
Judgment text and source record
31 paragraphs
Gucokaniriria Kihato Farmers and Traders Company Ltd v Ichoya & 3 others; Registrar of Companies (Interested Party) (Miscellaneous Application E151 of 2023) [2024] KEHC 1308 (KLR) (Civ) (15 February 2024) (Ruling)
Neutral citation: [2024] KEHC 1308 (KLR)
Republic of Kenya
In the High Court at Nairobi (Milimani Law Courts)
Civil
Miscellaneous Application E151 of 2023
JN Mulwa, J
February 15, 2024
Between
Gucokaniriria Kihato Farmers And Traders Company Ltd
Plaintiff
and
Jonah Ichoya
1st Defendant
David Gitome
2nd Defendant
Peter Kiarie
3rd Defendant
Paul Thige
4th Defendant
and
Registrar Of Companies
Interested Party
Ruling
1. There are two motions for determination before this court, dated 22/08/2023 and 3/10/2024.
2. The motion dated 22/08/2023 was brought by the Plaintiff seeking several orders among them setting aside and/or nullifying the resolutions passed a purported Annual General Meeting convened by the Defendants on 10/08/223 and directed to the Registrar of Companies restraining the Registrar of Companies from registering the Defendants as the Legal Directors of the Plaintiff pending hearing and determination of the suit. It is brought under Order 40 and 51 of the Civil Procedure Rules, and Section 277-280 of the 2015 Companies Act and Section 1A, 1B and 3B of the Civil Procedure Act.
3. The motion dated 3/10/2023 is brought by the 2nd, 3rd and 4th Defendants under Articles 159 and 50 of the Kenya Constitution.The Applicants seek an order to strike out the defendant’s motion dated 22/08/2022 and upon so doing, to dismiss the suit with costs to them.They also sought in the alternative, an order of stay of proceedings in this suit to await hearing and determination of a similar suits filed at Nyeri, being Nyeri Hcc. No. E010 of 2022 and Nyeri Hcc. No. E015 of 2022.
4. On 18/10/2023, the parties advocates agreed to prayer No. 5 in the motion dated 3/10/2023 effectively staying proceedings in this suit to await hearing and determination of the Nyeri High Court suits stated above.
5. In effect therefore, these proceedings having been stayed by consent of the parties, the motions dated 22/08/2023 and 3/10/2023 follow suit. They too shall await outcome of the Nyeri suits.
6. In the meantime, an order of status quo in respect of this suit is issued to last upto the determination of the Nyeri High Court cases. This suit shall be mentioned on 29/07/2024 for further directions.Orders accordingly.
DATED, SIGNED AND DELIVERED AT NAIROBI THIS 15TH DAY OF FEBRUARY, 2024. J. N. MULWAJUDGE