[2025] KEBPRT 319 (KLR)

Rehema Holding Limited v Lawi Designs Limited (Tribunal Case E188 of 2025) [2025] KEBPRT 319 (KLR) (30 June 2025) (Ruling)

Neutral citation: [2025] KEBPRT 319 (KLR)

Republic of Kenya

In the Business Premises Rent Tribunal

Tribunal Case E188 of 2025

N Wahome, Chair & Joyce Murigi, Member

June 30, 2025

Between

Rehema Holding Limited

Landlord

and

Lawi Designs Limited

Tenant

Ruling

1. This Ruling is on the Landlord/Applicant’s notice of motion application dated 17/2/2025. The same is anchored on under Section 12(1), (e ), (h) and (1), Section 4 and Section 13 of the Landlord and Tenant (Shops, Hotels and Catering Establishments) Act (Cap. 301) which we hereinafter refer to as “the Act”.

2. The motion sought for the following reliefs:-i.Spentii.That the Landlord is hereby allowed to enter in and attach the goods/Property of the Tenant situate on Rehema Plaza, shop G3 on L.R No.11/208, Meru Town and sell to recover rent arrears in the sum of Kshs.92,000/- (Kenya shillings Ninety Two Thousands).iii.That the officer commanding Meru Police Station be directed to provide security during the access and execution of this order thereto.iv.That the Tenant do bear costs of this application.

3. The motion was filed alongside the reference, also dated 17/2/2025. The same sought for the following reliefs,-“The complaint concerns the Landlord/applicant in relation to rent arrears in the sum of Kshs.92,000/- (Kenya Shillings Ninety Two Thousands for several months. The Tenant persists in default despite operating general shop business in the demised premises”.

4. The landlord thereafter filed the supplement any affidavit sworn by Mwirigi Kinagwi on the 16/4/2025. The Landlord finally filed the submissions dated 8/5/2025. The evidence of the landlord is that:-i.The Tenant was running in rent arrears at Kshs.92,000/-.ii.All the effort to have the same settled amicably had been in vain.iii.The Tenant was paying rent of Kshs.10,000/- upto December, 2019 and which escalated to Kshs.20,000/- effective 1/1/2020 when she moved into a front and bigger space.iv.A rental account had been taken between the landlord and the Tenant’s agent one mercy in December, 2024 and the rent arrears had been confirmed at Kshs.92,000/-.v.It needed the leave of this court to levy distress and to have security provided by the OCS Meru Police Station to have the same effected successfully.

5. On its part, the Tenant filed the replying affidavit sworn by Margaret Mukami Lawi on the 10/3/2025, it also filed the supplementary affidavit sworn on the 9/5/2025 and eventually the submissions dated 9/5/2025. The evidence of the Tenant is that:-i.She had a lease agreement with the Landlord dated 1/7/2017 for a smaller room at Kshs.10,000/- and later entered into the agreement dated 1/7/2024 for a larger and front shop at the monthly rent of Kshs.20,000/-.ii.She was paying Kshs.10,000/- as rent per month and which escalated to Kshs.20,000/- in July 2024. iii.There were no rents in arrears either at Kshs.92,000/- or at all.iv.She therefore sought to have the landlord’s application and suit dismissed with costs.

6. We have perused the parties pleadings and evidence and also their respective submissions and case laws cited and are of view that the issues that arise for determination are the following:-i.Whether the landlord’s application dated 17/2/2025 has merit.ii.Who should bear the costs of these proceedings.

7. Before we endeavor on the resolution of the emerging issues, it is apparent that this Ruling shall also resolve the reference dated 17/2/2025 which also seek for the recovery of the rent arrears alleged at Kshs.92,000/-.

8. We also need to disabuse the contestation by the landlord that Margaret Muthoni Lawi is not its Tenant and that its Tenant is Felix Muriuki. That assertion in our view is self defeating for the following reasons,-a.In its annexture “MK1” it shows various rent payments by Margaret and none by Felix.b.Its demand letter for rent arrears dated 17/12/2024 (annexture MK2”) was addressed to Margaret and not to Felix.

9. There is therefore no doubt in our mind that Margaret Mukami Lawi is the proper representative of the Tenant. The landlord Pur view did not satisfy the requirements of Section 107 and 109 of the Evidence Act in its assertion.

10. Turning on to the issue of whether the landlord’s application dated 17/2/2025 has merit, we have evaluated all the evidence and in particular the landlord’s annexture MK1 against the Tenant’s annexture “MM2”. From the documents, it is evident that the Tenant started paying rent at Kshs.20,000/- effective the 1/1/2020. If the Tenant was paying Kshs.10,000/- as claimed, she would then have accrued surplus on rent payment at the sum of Kshs.500,000/-. The Tenant has not claimed that she has paid such surplus in rent payment.

11. The Tenant has also not disputed the assertion by the landlord that their representatives met in the month of December, 2024 and took a rental account which confirmed that the Tenant owed rent in arrears at Kshs.92,000/-.

12. The Tenant had claimed that the landlord was not specific on the months on which the rent arrears at Kshs.92,000/- fell due. This was duly disabused by the landlords annexture MK1. T.

13. We are therefore convinced and satisfied that the landlord’s claim for Kshs.92,000/- in rent arrears is merited. We shall proceed to allow the same. This applies to the reference of 17/2/2025 and resolve the same in term.

14. Costs follow the event and pursuant to Section 12(1) k of the Act, we award costs to the landlord who is the successful party.

15. In the final analysis, the orders that commend to us are the following:-i.That the reference and notice of motion both dated 17/3/2025 are allowed in terms that judgement is entered in favour of the landlord and against the Tenant at Kshs.92,000/-.ii.That the Tenant shall settle the said amount of Kshs.92,000/- in 30 days of the date hereof and in default, the Landlord to execute the levy of distress in recovery thereof with the assistance of the OCS Meru Police Station at the Tenant’s expense.iii.The Landlord is awarded costs assessed at Kshs.30,000/-.Those are the orders of the court.

RULING DATED, SIGNED AND DELIVERED VIRTUALLY AT NAIROBI THIS 30THDAY OF JUNE 2025. HON. NDEGWA WAHOME, MBS, - PANEL CHAIRPERSON,HON. JOYCE MURIGI, - MEMBER,BUSINESS PREMISES RENT TRIBUNAL. BPRT.Ruling delivered in the presence of Counsel for the Tenant/Respondent and Counsel for the Landlord and in the absence of the Landlord.