[2017] KEHC 9065 (KLR)
The court found that the applicant, as trustee for the minor, had demonstrated sufficient justification for the sale of the trust property, namely that the property was high maintenance and that the proceeds would be used to acquire a more suitable asset for the minor's benefit. The court emphasized that the sale...
Source-derived case information.
- Citation
- [2017] KEHC 9065 (KLR)
- Parties
- Applicant: F R; Respondent: K H R
- Court
- High Court
- Court Station
- High Court at Nairobi (Milimani Law Courts)
- Jurisdiction
- Kenya
- Case Number
- Miscellaneous Civil Application 71 of 2017
- Procedural Posture
- Miscellaneous Application / Ruling
- Outcome
- application allowed with conditions
- Judges
- AO Muchelule
- Legal Topics
- Trust Property Sale, Minor Benefit Protection, Court Consent for Sale
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
F R
Applicant
K H R
Respondent
Procedural Posture
Miscellaneous Application / Ruling
Legal Issues
- 1 Whether the applicant should be granted consent by the court to sell trust property held for the benefit of a minor.
- 2 Whether the proceeds from the sale will be adequately safeguarded and reinvested for the minor's benefit.
Ratio Decidendi
The court found that the applicant, as trustee for the minor, had demonstrated sufficient justification for the sale of the trust property, namely that the property was high maintenance and that the proceeds would be used to acquire a more suitable asset for the minor's benefit. The court emphasized that the sale was permissible only on condition that the proceeds were used to purchase another property to be held in trust for the minor, and that documentary evidence of the new title and certificate of search be deposited with the court to ensure compliance and safeguard the minor's interests.
Court Disposition
application allowed with conditions
Orders
- The applicant is allowed to sell L.R. No. XXX/XX Mokoyeti Karen, Nairobi.
- The applicant shall use the proceeds to purchase Town House No. XX on L.R. No. X/XXX (Original No. X/XXX/X) and register it in his name to hold in trust for the minor K H R.
Full Case Text
Judgment text and source record
17 paragraphs
REPUBLIC OF KENYA
IN THE HIGH COURT OF KENYA AT NAIROBI
MILIMANI LAW COURTS
FAMILY DIVISION
MISC. APPLICATION NO. 71 OF 2017
IN THE MATTER OF F R AND F R HOLDING L.R. NO. XXX/XX MOKOYETI ROAD KAREN NAIROBI, IN TRUST OF H K R
AND
CURRENTLY IN THE MATER OF CONSENT OF COURT TO ALLOW F R HOLDING LR NO. XXXX/XX MOKOYETI KAREN, NAIROBI
TO SELL THE PROPERTY TO J K
FOR PURPOSES OF REINVESTING THE PROCEEDS FOR THE BENEFIT OF THE MINOR
RULING
1. L.R. No. XXXX/XX Mokoyeti Karen Nairobi is property registered in the name of the applicant F R in trust for his son K H R and who is aged 10. The value of the property is Kshs.42,000,000/=. The applicant wants to sell it, because it is high maintenance, to be able to acquire another one, Town House No. 10 on L.R. No. X/XXX (Original No. X/XXX/X) which is worth Kshs.60,000,000/=. He has shown that a ready buyer with funds is available to buy the property registered in his name for the child.
2. I will allow the application but on terms. The applicant is allowed to sell L.R. No. XXX/XX Mokoyet Karen, Nairobi. He shall use the proceeds to purchase Town House No. XX on L.R. No. X/XXX (Original No. X/XXX/X) which he shall register in his name to hold in trust for the minor K H R. He will, upon the purchase of the new property, immediately deposit a copy of the title into court. He will also deposit a copy of certificate of search.
3. The matter shall be mentioned on 18th September 2017 to confirm compliance.
DATED and DELIVERED at NAIROBI this 22ND day of JUNE 2017.
A. O. MUCHELULE
JUDGE