Tulsi Construction Limited v Universal Engineering Systems Limited (Insolvency Notice E103 of 2025) [2026] KEHC 5995 (KLR) (Commercial and Tax) (30 April 2026) (Ruling)
A statutory demand based on a quashed decree is legally untenable and amounts to abuse of court process; the debt is disputed on substantial grounds.
- Citation
- [2026] KEHC 5995 (KLR)
- Parties
- Applicant: Tulsi Construction Limited; Respondent: Universal Engineering Systems Limited
- Court
- High Court
- Jurisdiction
- Kenya
- Judgment Date
- 30 April 2026
- Case Number
- Insolvency Notice E103 of 2025
- Procedural Posture
- Insolvency Notice / Ruling on Notice of Motion to Strike Out Statutory Demand
- Outcome
- Statutory demand struck out with costs.
- Legal Topics
- Statutory Demand, Debt Recovery, Quashed Decree, Abuse of Court Process
- Source Language
- English
Case Brief
Summary, issues, holding and outcome
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Parties
Tulsi Construction Limited
Applicant
Universal Engineering Systems Limited
Respondent
Procedural Posture
Insolvency Notice / Ruling on Notice of Motion to Strike Out Statutory Demand
Legal Issues
- 1 Whether the statutory demand dated 10th June 2025 should be set aside
- 2 Whether the decree forming the basis of the statutory demand is legally enforceable
Ratio Decidendi
A statutory demand based on a quashed decree is legally untenable and amounts to abuse of court process; the debt is disputed on substantial grounds.
Court Disposition
Statutory demand struck out with costs.
Orders
- Statutory Demand dated 10th June 2025 is struck out.
- Costs awarded to the Applicant.
Full Case Text
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