[2024] KEHC 15903 (KLR)
The court found that it was undisputed that Bibiana Okwara Nalyanya had been collecting rent from the two estate properties. Section 83(e) of the Law of Succession Act imposes a duty on administrators to account for estate proceeds. The applicant was not seeking an audited account but merely a statement of rents...
Source-derived case information.
- Citation
- [2024] KEHC 15903 (KLR)
- Parties
- Applicant: Charles Sifuna Nalyanya; Respondent: Bibiana Okwara Nalyanya; Respondent: Antony Naulikha Nalyanya; Respondent: Patrick Sifuna Nalyanya
- Court
- High Court
- Court Station
- High Court at Bungoma
- Jurisdiction
- Kenya
- Case Number
- Probate & Administration 74 of 1999
- Procedural Posture
- Probate and Administration / Ruling on Application for Account of Estate Rent Proceeds
- Outcome
- application allowed
- Judges
- REA Ougo
- Legal Topics
- Estate Administration, Accounting by Administrator, Distribution of Estate, Duties of Personal Representatives
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Charles Sifuna Nalyanya
Applicant
Bibiana Okwara Nalyanya
Respondent
Antony Naulikha Nalyanya
Respondent
Patrick Sifuna Nalyanya
Respondent
Procedural Posture
Probate and Administration / Ruling on Application for Account of Estate Rent Proceeds
Legal Issues
- 1 Whether the administrator Bibiana Okwara Nalyanya is obligated to render an account of rent collected from estate properties.
- 2 Whether delay in prosecuting the application bars the applicant from seeking an account.
- 3 Whether rendering an account requires an audit or a simple statement of rent collected.
Ratio Decidendi
The court found that it was undisputed that Bibiana Okwara Nalyanya had been collecting rent from the two estate properties. Section 83(e) of the Law of Succession Act imposes a duty on administrators to account for estate proceeds. The applicant was not seeking an audited account but merely a statement of rents collected and deposited. The delay in prosecuting the application did not cause prejudice to the respondent or other administrators, as the rent forms part of the estate subject to distribution. The court concluded that the administrator must render an account of the rent collected from the specified properties for the relevant period.
Court Disposition
application allowed
Orders
- Bibiana Okwara Nalyanya shall render an account in respect of rent collected from Plot No. Bungoma Township/319 and Plot No. 3 Kanduyi.
- The account shall be rendered in court within 45 days for the period from the date of consent until October 2024.
Full Case Text
Judgment text and source record
26 paragraphs
In re Estate of Gabriel Nalyanya Naulikha (Deceased) (Probate & Administration 74 of 1999) [2024] KEHC 15903 (KLR) (22 October 2024) (Ruling)
Neutral citation: [2024] KEHC 15903 (KLR)
Republic of Kenya
In the High Court at Bungoma
Probate & Administration 74 of 1999
REA Ougo, J
October 22, 2024
In the matter of
Bibiana Okwara Nalyanya
1st Administrator
Antony Naulikha Nalyanya
2nd Administrator
Charles Sifuna Nalyanya
3rd Administrator
Patrick Sifuna Nalyanya
4th Administrator
Ruling
1. In Chamber Summons dated 3. 9.2018 the applicant Charles Nalyanya, seeks an order that Bibiana Okwara Nalianya render an account in respect of the proceeds of rent collected from Plot No. Bungoma Township/319 and Plot No. 3 Kanduyi.
2. The application is supported by the affidavit of Charles Sifuna Nalyanya he avers that on 26th June 2002 the parties recorded a consent that:-“The money payable be deposited in an interest-earning account in the names of the four administrators at Barclays Bank of Kenya, Bungoma Branch”.
3. Account No. xxxx was opened at Barclays Bank and consequently notices were issued to tenants to pay rent to the aforesaid account. This order was later varied that the money be deposited in a joint earning account with Cooperative Bank, Bungoma Branch instead of Barclays Bank Bungoma. This account was however not opened. Charles avers further that the co-administrator has been collecting rent from the premises.
4. The application was opposed.
5. Mr Murunga for the applicant indicated that there is no dispute that the two proprieties belong to the estate and that Bibian was collecting rent. He also admitted that there was a consent that was recorded in court. It was further submitted by Mr Murunga that the consent obligates Bibiana to render an account of the estate and in the affidavit of Antony dated 4rth October paragraph 18, he states he has no problem accounting for the rents collected in regards to the 2 properties.
6. Mr Amollo in opposing the application argued that there had been no efforts made to prosecute the application since 2018 and there was indolence on the part of the applicant. Despite the account being opened on the 17th of September 2021, Charles and his mother declined to go to the bank to admit signatures as signatories to the account and thereafter Andrew and Bibiana saw no need and it was closed. He believes that money is still in the account. Mr. Amollo admitted that Bibiana had been collecting rent and that now that the applicant wants the account it should be done by an accountant. He posed the question of whether the applicant wants Bibiana to go and hire an auditor to prepare the accounts. To this query, Mr Murunga's response is that all they want is to have the accounts rendered.
7. I have considered the rival affidavits and the oral submissions. It is not in dispute that Bibian has been collecting rent from the two premises. Section 83 (e ) obligates an administrator to give an account of the proceeds of an estate. The Applicant is only seeking an account of the rents collected and deposited, not an audited account. Though the application was filed in 2018, I find that no prejudice will be caused to the respondent/administrators, if the orders are granted, as the rent from the two premises constitutes part of the proceeds of the estate of the deceased which is subject to distribution to the beneficiaries of the deceased estate.
8. I, therefore, order that Bibian Okwara render an account in proceeds of rent collected from plot No. Bungoma Township/319 and Plot No.3 Kanduyi. The same is to be rendered in court 45 days for the period from the date of consent until October 2024. Costs shall be in the cause.
DATED, SIGNED, AND DELIVERED AT BUNGOMA ON THIS 22ND DAY OF OCTOBER 2024. R.E.OUGOJUDGEIn the presence of:-Mr. Murunga - For the ApplicantMr. Amollo For the Respondent - AbsentWilkister - C/A