https://new.kenyalaw.org/akn/ke/judgment/kehc/2026/12836

https://new.kenyalaw.org/akn/ke/judgment/kehc/2026/12836

The Applicant, as landlord and proprietor, demonstrated a superior proprietary interest, admitted unpaid occupation during administration, and significant loss from continued retention of the premises without payment. The administration was being used for asset realisation rather than rescue, so leave to forfeit and...

Source-derived case information.

Citation
[2026] KEHC 12836 (KLR)
Parties
Applicant: Osiqsa EPZ Limited; Respondent: Official Receiver (as Administrator of Amor Coco Kenya (EPZ) Limited - in Administration)
Court
High Court
Jurisdiction
Kenya
Case Number
Insolvency Cause E287 of 2025
Procedural Posture
Insolvency Cause / Ruling on Notice of Motion
Outcome
Application substantially allowed
Judges
["J Ngaah"]
Legal Topics
Administration Moratorium, Forfeiture and Re Entry, Landlord Proprietary Rights, Leave to Commence or Continue Proceedings, Counterclaim in Subordinate Court, Costs
Source Language
en
Insolvency Law Landlord and Tenant Law Civil Procedure Constitutional/property Law Administration Moratorium Forfeiture and Re Entry Landlord Proprietary Rights Leave to Commence or Continue Proceedings +2 more

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Parties

Osiqsa EPZ Limited

Applicant

Official Receiver (as Administrator of Amor Coco Kenya (EPZ) Limited - in Administration)

Respondent

Procedural Posture

Insolvency Cause / Ruling on Notice of Motion

  1. 1 Whether leave should be granted to forfeit and peacefully re-enter premises during administration
  2. 2 Whether leave should be granted to file and prosecute a counterclaim notwithstanding the moratorium
  3. 3 What conditions and costs orders should follow

Ratio Decidendi

The Applicant, as landlord and proprietor, demonstrated a superior proprietary interest, admitted unpaid occupation during administration, and significant loss from continued retention of the premises without payment. The administration was being used for asset realisation rather than rescue, so leave to forfeit and re-enter was justified subject to a 90-day suspension and an option for the Respondent either to pay monthly occupation sums as administration expenses or vacate. Leave to file and prosecute the counterclaim was also justified because the underlying dispute was already in litigation, the moratorium could not be used as both sword and shield, and execution could be restrained...

Court Disposition

Application substantially allowed

Orders

  • Approval granted under section 560(1)(c) to exercise the right of forfeiture by peaceable re-entry, suspended for 90 days
  • During suspension, the Respondent may either pay USD 2,500 per month as an administration expense from 17 December 2024 onward while retaining possession or remove the Company’s assets and deliver vacant possession