[2019] KEHC 7129 (KLR)
The court found that the applicants had not demonstrated how they would suffer substantial loss if stay was not granted, particularly since the property ABOTHUGUCHI/U-KAONGO/1050 had already been found to be a gift inter vivos to the respondent and thus not part of the estate for distribution. The court held that a...
Source-derived case information.
- Citation
- [2019] KEHC 7129 (KLR)
- Parties
- Applicant: Luciano Kiruki Mugambi; Applicant: Daniel Kigora Mugambi; Applicant: Zachary Mutiora Mugambi; Respondent: Sesary Gatobu M’ Mugambi
- Court
- High Court
- Court Station
- High Court at Meru
- Jurisdiction
- Kenya
- Case Number
- Succession Cause 22 of 1995
- Procedural Posture
- Stay Application / Ruling on Application for Stay of Execution Pending Appeal
- Outcome
- Application for stay of execution denied; preservation order granted.
- Judges
- F Gikonyo
- Legal Topics
- Stay of Execution, Succession Estate Distribution, Gift Inter Vivos, Security for Costs
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Luciano Kiruki Mugambi
Applicant
Daniel Kigora Mugambi
Applicant
Zachary Mutiora Mugambi
Applicant
Sesary Gatobu M’ Mugambi
Respondent
Procedural Posture
Stay Application / Ruling on Application for Stay of Execution Pending Appeal
Legal Issues
- 1 Whether the applicants are entitled to a stay of execution of the judgment delivered on 17th December 2018 pending appeal.
- 2 Whether the applicants have demonstrated substantial loss if stay is not granted.
- 3 Whether the property in question forms part of the estate or was a gift inter vivos to the respondent.
Ratio Decidendi
The court found that the applicants had not demonstrated how they would suffer substantial loss if stay was not granted, particularly since the property ABOTHUGUCHI/U-KAONGO/1050 had already been found to be a gift inter vivos to the respondent and thus not part of the estate for distribution. The court held that a stay of execution was not merited in respect of the entire judgment. However, to preserve the subject property for the intended appeal, the court restrained the respondent from disposing of, selling, charging, or exchanging the property pending the appeal. The application for stay of execution was therefore denied, but a preservation order was issued to prevent dissipation of...
Court Disposition
Application for stay of execution denied; preservation order granted.
Orders
- The respondent, Sesary Gatobu M’ Mugambi, is restrained from selling, disposing of, charging, or exchanging land parcel ABOTHUGUCHI/U-KAONGO/1050 pending hearing and determination of the intended appeal.
- No stay of execution is granted on the judgment delivered on 17th December 2018.
Full Case Text
Judgment text and source record
27 paragraphs
REPUBLIC OF KENYA
IN THE HIGH COURT OF KENYA
AT MERU
SUCCESSION CAUSE NO. 22 OF 1995
IN THE MATTER OF THE ESTATE OF M’ MUGAMBI M’ RIMBERIA (DECEASED)
LUCIANO KIRUKI MUGAMBI................1ST APPLICANT
DANIEL KIGORA MUGAMBI.................2ND APPLICANT
ZACHARY MUTIORA MUGAMBI..........3RD APPLICANT
VERSUS
SESARY GATOBU M’ MUGAMBI...............RESPONDENT
RULING
[1] The Summons dated 25th January 2019 and brought pursuant to Section 47 of the Law of Succession Act, Rule 73 of the Probate and Administration Rules seek stay of execution of the judgment delivered on 17th December 2018, pending the hearing and determination of an intended appeal.
[2] The application is premised on the grounds inter alia that judgment on distribution of the estate was delivered on 17th December 2018 and that the Applicants were dissatisfied/aggrieved with the aforesaid judgment and had filed a notice of appeal against it. The Applicants further contended that they would suffer irreparable loss unless execution of the said judgment was stayed.
[3] The application was opposed via a replying affidavit filed in court on 23rd April 2019 by the respondent where he deposed inter alia that the application was not meritorious as it sought to stay a judgment given in a cause which commenced more than 2 decades ago. In any event, in the impugned judgment, the court observed that the respondent had been in exclusive occupation for more that 6 decades and was gifted to the respondent by the deceasedintervivos and that the applicants had not demonstrated how they would suffer irreparably should the land be registered in his name. The Respondent further urged the court to order the Applicants to deposit Kshs 200,000 as security for costs should it be inclined to allow the application.
ANALYSIS AND DETERMINATION
[4] The Applicants are essentially seeking stay of execution of the judgment delivered on 17th December 2018 in which the court inter alia held that ABOTHUGUCHI/U- KAONGO/1050 was a gift inter vivos given to the respondent. Stay of execution pending is not given as a matter of right or simply because one has filed an appeal. It is granted at the discretion of court after being satisfied that there is a sufficient reason to so order. This is because the court has to balance two competing rights; the appellant’s right of appeal which includes right for appeal not to be rendered nugatory; and the respondent’s right to immediate enjoyment of his judgment. None is the lesser. Therefore, the court must consider all the circumstances of the case as it is guided by the traditional prerequisites in Order 42 rule 6 of the Civil Procedure Rules namely; whether substantial loss will occur if the order is not granted; whether the application has been brought without unreasonable delay; and provision of security for performance of the decree as the case maybe. These principles were restated by the Court of Appeal in the case of CARTER & SONS LTD. V. DEPOSIT PROTECTION FUND BOARD & TWO OTHERS – Civil Appeal No. 291 of 1997, at Page 4as follows:
“ . . . the mere fact that there are strong grounds of appeal would not, in itself, justify an order for stay. . .the applicant must establish a sufficient cause; secondly the court must be satisfied that substantial loss would ensue from a refusal to grant a stay; and thirdly the applicant must furnish security, and the application must, of course, be made without unreasonable delay.”
[5] In this case, the court made a finding that land parcel number ABOTHUGUCHI/U-KAONGO/1050 was a gift inter vivos made to the respondent by the deceased. Such property is not estate property except it is only taken into account under section 28 and 42 of the Law of Succession Act in determining the ultimate entitlement of the donee beneficiary in the estate. Stay is helpless or superfluous in such case. I do not see how such declaration may be stayed. In any event, the applicants have not shown how such order will cause them substantial loss. Perhaps the only thing that may dissipate the said property is disposal of it by way of sale, exchange or charge by Sasery. Therefore, I can only restrain any disposal by Sesary Gatobu of the said property to a third party pending hearing and determination the intended appeal. To avoid doubt, I will make appropriate order herein.
[6] What about the other order that land parcel number ABOTHUGUCHI/KAONGO/580 be shared equally amongst the sons of the deceased? Evidence shows that all the children of the deceased settled in this land. The court simply adopted what the parties had proposed. I do not therefore, think that a stay of the entire judgment is merited.
[7] In light of the above, the appropriate order to make is to restrain Sasery from selling or disposing of or charging or exchanging ABOTHUGUCHI/U-KAONGO/1050. This order does not operate as a stay of execution on my judgment whatsoever. It simply restrains Sasery from disposing of the above property once it is registered into his name. In this manner, the said property is preserved for purposes of the intended appeal. Effectively, stay of execution is denied. It is so ordered. No orders as to costs.
Dated, signed, and delivered in open court on 23rd May 2019
F. GIKONYO
JUDGE
M/S Kiome for Kaumbi for applicant
Kiogora for Gitonga for respondent
F. GIKONYO
JUDGE