[2020] KEELC 2743 (KLR)

[2020] KEELC 2743 (KLR)

The court found that the sale agreement between Patricia and Fatuma was subject to the purchaser obtaining financing from KCB and was further complicated by the existence of pending litigation over the Suit Property. Although the transfer and charge were registered, the purchase price was never paid to Patricia due...

Source-derived case information.

Citation
[2020] KEELC 2743 (KLR)
Parties
Plaintiff: Patricia Wairimu Kung'u; Defendant: Kenya Commercial Bank Limited; Defendant: Fatuma Mohamed Ali; Plaintiff: Benny Roesch; Defendant: Wolfgang Roesch
Court
Environment and Land Court
Court Station
Environment and Land Court at Nairobi
Jurisdiction
Kenya
Case Number
Environment & Land Case 917 of 1988
Procedural Posture
Environment and Land Case / Judgment
Outcome
Plaintiff's suit allowed; 2nd Defendant's counterclaim dismissed.
Legal Topics
Sale of Land, Specific Performance, Fraudulent Transfer, Unjust Enrichment, Registration of Titles, Lis Pendens
Source Language
en
Land and Property Civil Procedure Sale of Land Specific Performance Fraudulent Transfer Unjust Enrichment Registration of Titles Lis Pendens

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Parties

Patricia Wairimu Kung'u

Plaintiff

Kenya Commercial Bank Limited

Defendant

Fatuma Mohamed Ali

Defendant

Benny Roesch

Plaintiff

Wolfgang Roesch

Defendant

Procedural Posture

Environment and Land Case / Judgment

  1. 1 Whether the agreement for sale of the Suit Property between Patricia and Fatuma was valid and enforceable.
  2. 2 Whether Fatuma rescinded the sale agreement and the effect thereof.
  3. 3 Whether Patricia or Fatuma is entitled to the Suit Property and related reliefs.

Ratio Decidendi

The court found that the sale agreement between Patricia and Fatuma was subject to the purchaser obtaining financing from KCB and was further complicated by the existence of pending litigation over the Suit Property. Although the transfer and charge were registered, the purchase price was never paid to Patricia due to the advice of Oraro Advocates and KCB's withdrawal of financing upon learning of the pending suits. Fatuma herself wrote to KCB indicating she did not purchase the property due to unavoidable circumstances, amounting to rescission of the contract. The court held that without payment of consideration, the contract was not valid or enforceable, and Fatuma could not claim title...

Court Disposition

Plaintiff's suit allowed; 2nd Defendant's counterclaim dismissed.

Orders

  • Prayers (i), (ii), and (iii) of the plaint dated 21/7/2005 granted to the Plaintiff.
  • 2nd Defendant to restitute to the Plaintiff all rent collected from the Suit Property within 45 days of judgment.